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A bond with a 9-year MODIFIED duration is worth $1,080, and its yield to maturity is 8%. If the yield to maturity falls to 7.84%,

A bond with a 9-year MODIFIED duration is worth $1,080, and its yield to maturity is 8%. If the yield to maturity falls to 7.84%, you would predict that the new value of the bond will be approximately _________.

A. $1,075.25

B. $1,085.75

C $1,094.40

D. $1,095.50

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