1) You have a 25-year maturity, 10.8% coupon, 10.8% yield bond with a duration of 10 years and a convexity of 136.3. If the interest rate were to fall 133 basis points, your predicted new price for the bond (including convexity) is _________.

2) Find the duration of a 7% coupon bond makingannualcoupon payments if it has three years until maturity and a yield to maturity of 6.4%. What is the duration if the yield to maturity is 10.4%?

3)You own a bond that has a duration of 5 years. Interest rates are currently 6%, but you believe the Fed is about to increase interest rates by 22 basis points. Your predicted price change on this bond is ________.