3 Months LIBOR / Full year cash interest calculation

Hi!
I have a question in partiular for Leveraged Finance experts.

When calculating the cash interest, it is common sense to take the 3M LIBOR rate.
Then you would say (please disregard any swap transaction), cash interest is applicable to the debt amount * (3M LIBOR + margin).

But my problem is that I dont understand why the 3M LIBOR is taken and not the 12 months LIBOR e.g..

Is the 3M LIBOR a rate p.a.? So an annualized rate?

Would the maths, to calculate quarterly interest payments, then be:

(3M LIBOR + margin) / 4

Is this correct?

Thanks for response

 

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