Reports from several media outlets indicate the Wolverines and Wildcats have been selected for the bowl, to be played on Dec. 28 at 10:15 p.m. eastern time.
These reports are not official though confirmation is likely to come following the BCS Selection Show at 8:30 p.m. on ESPN and the Bowl Selection Show to follow at 9 p.m.
Kansas State, also 7-5, finished Big 12 conference play at 5-4 including a regular season finale 31-10 win over rival Kansas. The Wildcats kicked their season off with a 24-21 loss at home to North Dakota State of the FCS.
Finishing the regular season 11-1 in 2012, Kansas State lost to Oregon 35-17 in the 2013 Fiesta Bowl.
Michigan and Kansas State have never met in football.
This story will be updated.