Question: Practice Problem OsCorp can borrow at 5% or LIBOR + 0.1% OsCorp prefers floating-rate borrowing . LexCorp can borrow at 6% or LIBOR + 0.6%

Practice Problem OsCorp can borrow at 5% or LIBOR + 0.1% OsCorp prefers floating-rate borrowing . LexCorp can borrow at 6% or LIBOR + 0.6% LexCorp prefers fixed-rate borrowing You work for Roxxon designing swaps . Design a swap that will net Roxxon a profit of 0.20% and be equally attractive to both OsCorp and LexCorp 49 400

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