ABC International can borrow $4,000,000 at SOFR plus a lending margin of 0.65 percent per annum on a three-month rollover basis from Barclays in London. Three month SOFR is currently 5.5 percent. Suppose that over the second three-month interval SOFR falls to 5.0 percent. How much will ABC pay in interest to Barclays over the six-month period for the Eurodollar loan?

$50,000

$100,000

$118,000

$120,000