Please answer both

Problem 3: Companies A and B face the following interest rates (adjusted for the differential impact of taxes): A B US Dollars (floating rate) LIBOR+0.5%% LIBOR+1.5% Canadian dollars (fixed 3.0% 4.75% rate) Assume that A wants to borrow U.S. dollars ( since the company wants to expand operations in US) at a floating rate of interest and B wants to borrow Canadian dollars ( since the company wants to expand operations in Canada) at a fixed rate of interest. A financial institution is planning to arrange a swap and requires a 40-basis-point spread. If the swap is equally attractive to A and B. what rates of interest will A and B end up paying?Problem 4: Company AAA ( higher rated, more creditworthy) and company BBB ( lower rated) have offered the following rates per annum on a $10million 4 year loan. Fixed rate Floating rate AAA 6% LIBOR + 0.4% BBB 7.8% LIBOR + 0.9% In order to hedge their interest rate risk, company AAA requires a floating rate loan, and BBB requires a fixed rate loan. Design a swap (indicate the net interest rates paid by each party with the swap arrangement) that is equally attractive to both companies, after considering a bank charges a fee of 0.3% per annum for acting as an intermediary in the swap arrangement