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K-Roo Ltd. wants to finance its US investments in the international debt market. It faces the following current and expected interest rates: Current annualized 90-day

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K-Roo Ltd. wants to finance its US investments in the international debt market. It faces the following current and expected interest rates: Current annualized 90-day LIBOR: 4.5% Expected 90-day LIBOR next period: 9.5% K-Roo Ltd. faces a 1.4% premium over LIBOR. What are K-Roo's (annualized) borrowing costs? a a. This period: 5.9%. Next period: 10.9% b. This period: 5.9%. Next period: 5.9% c. This period: 10.9%. Next period: 10.9% d. This period: 4.5%. Next period: 9.5% e. This period: 4.5%. Next period: 4.5%

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