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Please show work Question 2 1 pts You have borrowed $1.2 million at a rate of LIBOR +1%, and you wish to completely eliminate your
Please show work
Question 2 1 pts You have borrowed $1.2 million at a rate of LIBOR +1%, and you wish to completely eliminate your interest rate risk. To do so, you are going to use a interest rate swap where the fixed leg pays 3% and the variable leg pays LIBOR +2. What would your yearly interest payment be if you you used this swap to hedge against interest rate movementsStep by Step Solution
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