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Question $3$

$1$ pts

Alpha and Beta Companies can borrow for a five$-$year term at the following rates:

$\backslash$table$[[,$Alpha$],[$Moody$\text{'}$s credit rating,$\backslash$table$[[$Aa$]],$Baa$],[$Fixed$-$rate borrowing cost,$10\mathrm{.}5\%,12\mathrm{.}1\%$