which of the following is correct

Refer to the following table. A swap deal, that lowers the cost of each company by /5 basis points, is possible if Interest Rate Swaps Xanadu Oil Corporation Rex Technologies Credit Rating AAA BBB Fixed rate cost of borrowing 7% 9% Floating rate cost of borrowing LIBOR +0.5% LIBOR +1.0% O Rex borrows at LIBOR+1% and Xanadu borrows at LIBOR+0.5% Xanadu borrows at 7% fixed; Rex borrows at LIBOR+1%. Then they enter into a swap deal where Xanadu makes payments at LIBOR and receives fixed rate payments at 7.25% Xanadu borrows at 5% fixed; Rex borrows at LIBOR+1%. Then they enter into a swap deal O where Xanadu makes payments at LIBOR and receives fixed rate payments at 5.25% O Xanadu borrows at LIBOR+0.5% and Rex borrows at the fixed rate of 7% Xanadu borrows at 5% fixed; Rex borrows at LIBOR+1%. Then they enter into a swap deal where Xanadu receives payments at LIBOR and makes fixed rate payments at 5.25%