Desert trading company has issued 100 million worth of, Financial Accounting

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Desert trading company has issued 100 million worth of

Desert Trading Company has issued $100 million worth of long-term bonds at a fixed rate of 7%. The firm then enters into an interest rate swap where it pays LIBOR and receives a fixed 6% on notional principal of $100 million. What is the firm’s overall cost of funds?

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Financial Accounting: Desert trading company has issued 100 million worth of

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Financial Accounting: Desert trading company has issued 100 million worth of

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