An Investor purchased $5 million in market value of a bond. The current price of the bond is 90. A valuation model found that if interest rates increase by 25 basis points, the price will decline to 88.35 and if interest rates decline by 25 basis points, the price will increase to 91.95. 2. a. What is the duration ofthis bond? (10%) b. Using the duration calculated in part a, determine the estimated change in the bond's market value (in dollar amount) for the change in interest rate shown below: (15%) i) +100 basis points ii) -75 basis points iii)+20 basis points