Company A and Company B have been offered the following rates Company A Company B Select one: Fixed-Rate a. 3-month LIBOR-5bp Ob. 3-month LIBOR+5bp O c. 3.1% Od. 3-month LIBOR-30bp Oe. 3-month LIBOR+30bp 4.0% 4.5% Suppose that Company A borrows fixed and company B borrows floating. If they enter into a swap with each other where the apparent benefits are shared equally, what is company A's effective borrowing rate? Floating Rate 3-month LIBOR plus 20bp 3-month LIBOR plus 30bp [4 marks]