Given the5%yield on three-year T-notes and LIBOR yields on FRNs in Question 9, how much would the swap bank pay or charge to buy an existing floating-rate payer’s position on a three-year, 6%/LIBOR swap with a notional principal of

$50 million, if it planned to hedge the purchase with positions in the T-notes and FRNs? How much would it pay or charge for an existing fixed-payer’s position on a three-year, 6%/LIBOR with a notional principal of $50 million? Exclude the basis points that the swap bank might add to its bid and ask prices.