(20 points-5 each) A 3-year 5% coupon bond with annual payments (face value = 100) currently trades for Question 2 100 Calculate the duration (in years). 2.85 or 2.86 years Now suppose that yields go up to by 100 basis points. Calculate the approximate dollar change in the price of a. b. the bond using duration. Plus or minus is OK. $2.7232 Will the actual change be bigger or smaller than the change you computed in part (b). Please only answer with the word BIGGER or SMALLER. c. SMALLER