Question: Please show work Question 4 1 pts You have borrowed $3 million at a rate of LIBOR +2%, and you wish to completely eliminate your

Please show work Question 4 1 pts You have borrowed $3 million Please show work

Question 4 1 pts You have borrowed $3 million at a rate of LIBOR +2%, and you wish to completely eliminate your interest rate risk. To do so, you are going to use a interest rate swap where the fixed leg pays 3% and the variable leg pays LIBOR +1.8. What interest rate would you be locking in using this swap

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