Question: 6. Factors affecting interest rate swap performance Consider a plain vanilla swap where Fowling Company is making fixed interest rate payments to Poman Company in

 6. Factors affecting interest rate swap performance Consider a plain vanilla

6. Factors affecting interest rate swap performance Consider a plain vanilla swap where Fowling Company is making fixed interest rate payments to Poman Company in exchange for variable interest rate payments from Poman Company equal to LIBOR plus 4 percent. If there is an announcement stating the federal government plans to decrease the tax rate, which financial market participant would benefit most from the change in fiscal policy? O Poman Company O Fowling Company

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