Suppose the swap rate is 8% and the BBSW is 11% for the first quarter. Given that the amount hedged is $50 million, which of the following statements is TRUE about the swap settlement? (Assume quarterly swap cashflows and quarterly compounding)

	A.	The floating rate payer pays the fixed rate payer $4 million.
	B.	The obligations of each party are zero in this quarter.
	C.	The floating rate payer pays the fixed rate payer $375 000.
	D.	The fixed rate payer pays the floating rate payer $4 million.
	E.	The fixed rate payer pays the floating rate payer $375 000.