Consider the following bank:

Bank 2 has assets composed solely of a 7-year, 12 percent, zero-coupon bond with a current value of $894,006.20 and a maturity value of $1,976,362.88. It is financed with a 10-year, 8.275 percent coupon, $1,000,000 face value CD with a yield to maturity of 10 percent.

All securities except the zero-coupon bond pay interest annually. (LG 3-4)

If interest rates rise by 1 percent (100 basis points), how much does the net value of the assets and liabilities of the bank change?

Enter the answer as decimals: 0.00