Companies X and Y have been offered the following rates per annume on a $5 million 10-year investment:

	Fixed Rate	Floating Rate
Company X	3.0%	Libor
Company Y	5.0%	Libor +0.2%

Company X requires a fixed- rate investment; company Y requires a floating- rate investment. Below you are designing a swap that will net a bank, acting as intermediary, 0.3% per annum and will appear equally attractive to X and Y. Please do the swap.

il) Companies X and Y have been offered the following rates per annum on a $5 million 10-year investment Company X Company Y Fixed Rate 3.0% 5.0% Floating Rate LIBOR LIBOR+02% investment, company Y requires a floating-rate investment. Below you Company X requires a fixed-rate investment; company Yrequires a floating-rate investment. B are designing a swap that will net a bank, acting as intermediary 0.3% per annum and will appear equally attractive to Xand Y. Please fill in the appropriate values for A, B and C. (6 points) 3.75% B) C) Company Company BANK A) LIBOR LIBOR