Refer to the following table. If Xanadu and Rex are considering an interest rate swap to lower their borrowing costs, which one of the following statements is correct? Interest Rate Swaps Xanadu Oil Corporation Rex Technologies Credit Rating AAA BBB Fixed rate cost of borrowing 5% 7% Floating rate cost of borrowing LIBOR +0.5% LIBOR +1.0% O Rex has an absolute advantage when borrowing at the fixed rate of 7% Neither Xanadu nor Rex has the comparative advantage O Rex has the comparative advantage when borrowing at the floating rate of LIBOR + 0.5% O Rex has an absolute advantage when borrowing at the floating rate of LIBOR + 1% Xanadu has absolute advantage when borrowing at the fixed interest rate of 5%. Xanadu also has absolute advantage when borrowing at the floating interest rate of LIBOR O +0.5%