ABC Corp.entered into a currency swap with its bank, providing that ABC borrows $5 million at 10 percent and swaps for a 12 percent yen loan.The spot exchange rate is *105$.If interest only is to be repaid on an annual basis, how much does ABC pay annually to the bank?
A)(*1.26 million)
B)(*5.71 million)
C)(*52.50 million)
D)(*63.00 million )

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The Answer of ABC Corp.entered into a currency swap with its bank, providing that ABC borrows $5 million at 10 percent and swaps for a 12 percent yen loan.The spot exchange rate is *105$.If interest only is to be repaid on an annual basis, how much does ABC pay annually to the bank?
A)(*1.26 million)
B)(*5.71 million)
C)(*52.50 million)
D)(*63.00 million )

ABC CorpEntered into a Currency Swap with Its Bank, Providing That