Question 3 9.8 pts Suppose that ABS A pays a floating rate of interest equal to LIBOR plus 20 basis points to its bondholders. The ABS is backed by collateral paying a 3.5% fixed rate of interest. Suppose further that ABS B pays a fixed rate of interest of 3% to its bondholders and is backed by collateral paying LIBOR + 80 basis points Suppose the market has available a 5-year interest-rate swap with the following terms available: ABS A pays 3.02 % and receives LIBOR ABS B pays LIBOR and receives 2.62% If ABS A enters the above swap, the spread income it receives is %. Read the question carefully. If you take the quiz multiple times, in different attempts you may get a version asking about the other ABS or an entirely different set of parameters