An company needs to make a 2, 000, 000 loan repayment in 3 years time, and plans to hedge this liability over the next three months using a 6-month bank bill and a 2-year treasury bond paying semi-annual coupon at 6% per annum. The bill has face value 100, 000 and quoted rate 4.2% per annum, and the bond has face value 50, 000, yield 4.5% per annum and Macaulay duration of 1.8 years. The 3-year semiannually compounded rate is 4.45% per annum. Compute the number of bills and bonds required to duration hedge the liability. You must use modified duration.