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2. A bond portfolio is currently worth $1,000. The portfolios duration is 2 and its convexity is 115. The yield to maturity (YTM) of the

2. A bond portfolio is currently worth $1,000. The portfolios duration is 2 and its convexity is 115. The yield to maturity (YTM) of the portfolio currently is 6%. What is the portfolio worth if its YTM changes to 5%? Explain your answer.(11)

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