Hi I would like to know the explanation for the below question A bank entered into a 4-year tenor plain vanilla swap three years ago. The agreements of the swap are to pay 6.5 percent annually, based on annual compounding with a 30/360 day-count convention, fixed rate on a $50 million notional, and receive 1-year London Interbank Offered Rate (LIBOR). The continuously compounded LIBOR for 1-year obligations is currently 5.75 percent. The 1-year LIBOR at the beginning of the period was 6.25 percent. The value of the swap is closest to: A) –$110,000. B) $110,000. C) $800,522. D) –$257,020 the answer is A but i am not understanding the intuition