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For the following bank, if market interest rates fall by 1%, then duration analysis predicts that the value of equity, now 10, will change

For the following bank, if market interest rates fall by 1%, then duration analysis predicts that the value of equity, now 10, will change to approximately Assets Modified Liabilities Duration Value Value Modified Duration FRB reserves 30 Interest Checking 40 Loans 70 4 Certificates of Deposit 50 O 11.2 O7.5 O 6.6 O 12.5 O7.7 O 13.4 8.8 O 12.3 1.

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