AAA Corp and BBB Corp are facing the borrowing costs as described in the table below.

	Fixed	Floating
AAACorp	4.50%	6-month LIBOR
BBBCorp	6.00%	6-month LIBOR + 0.8%

Which of the following swap arrangement will mutually benefits both party with reductions in borrowing costs?

Select one:

a. A serves as the fixed rate payer and B serves as the floating rate payer.

b. There is no opportunity to create a mutually beneficial swap contract.

c. A serves as the floating rate payer and B serves as the fixed rate payer.

d. A serves as the fixed rate payer and B also serves as the fixed rate payer.

e. A serves as the floating rate payer and B also serves as the floating rate payer.