Need answers ASAP and the right one.

10. A bank is planning to make a loan of $20,000,000 to a firm in the manufacturing industry. The projected (one-year) spread on the loan is 1% and the bank expects to charge 50 basis points in fees. The loan has a maturity of 7 years with a duration of 6.2 years. The cost of funds (the RAROC benchmark) for the bank is 10%. The bank has estimated the maximum change in the risk premium on the manufacturing industry to be approximately 5%, based on historical data. The current market yield for loans in this industry is 11%. Which of the following is true? A. Using the RAROC model, the bank should make the loan. B. Using the RAROC model, the bank can make the loan acceptable by raising the spread and fee together to 2.79%. C. Using the RAROC model, the bank can make the loan acceptable by charging additional $641,441 in spread and fee. D. The bank can use capital rationing to improve the RAROC. E. Using the RAROC model, the bank can make the loan acceptable by raising the spread and fee together to 2.30%