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Multiple choice pay USD 5.0% against receiving USD LIBOR on 5-year loans. pay EUR 7.2% against receiving USD LIBOR on 5-year loans. receive EUR 7.2%

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Multiple choice

  • pay USD 5.0% against receiving USD LIBOR on 5-year loans.

  • pay EUR 7.2% against receiving USD LIBOR on 5-year loans.

  • receive EUR 7.2% against receiving USD LIBOR on 5-year loans.

  • receive USD 4.8% against paying USD LIBOR on 5-year loans.

Consider the following swap bank quotes for 5-year swaps made to AAA-rated firms. The bank stands ready to: USD EURO Bid 4.8% Ask 5.0% Bid 7.2% Ask 7.0%

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