Question: Based on the rates given, determine if there is a scenario making it economically favorable for both Counter Party Bank A (AAA) and Counter Party

Based on the rates given, determine if there is a scenario making it economically favorable for both Counter Party Bank A (AAA) and Counter Party Company B (BBB) to engage in a Fixed for Floating Interest Rate Swap. Show all parts of the transaction to show your analysis

Fixed for Floating Interest Rate Swap

Fixed for Floating Interest Rate Swap Counter Party Bank A (AAA) Counter Party Company B: (BBB) ===== Fixed 5 yr Rate 4.45% 5.62% Floating Rate 4.75% SOFR6 6.12% SOFR6+.50%

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