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5. The current market interest rate is an annual effective rate of 5%. A non-callable bond has a current price of $1,150.00 and Macaulay duration

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5. The current market interest rate is an annual effective rate of 5%. A non-callable bond has a current price of $1,150.00 and Macaulay duration of 10.50 years. Use the first- order modified approximation to approximate the percentage change in the price of the bond if market interest rates decrease to 4.5%

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