The highest and lowest interest rates of Banks A, D, Q and R would be disregarded and the remaining rates would be averaged to determine the 6-month Libor Rate in Eurodollars.
To get the 6-month Libor Eurodollar rate at these same banks, the BBA would ask these banks what they would charge Bank B to borrow funds in Eurodollars for six months.
This is because using Eurodollars, which includes only European currency, would not accurately reflect the rate for American lenders.
The rates are initially calculated in Eurodollars.
The LIBOR rates are calculated in Eurodollars.