Portfolio A consists of a one-year zero-coupon bond with a face value of $3,000 and a 10-year zero-coupon bond with a face value of $7,000. Portfolio B consists of a 5.95-year zero-coupon bond with a face value of $4,500. The current yield on all bonds is 10% per annum (continuously compounded).

1. The duration of Portfolio A is equal to?
2. The percentage change for a 0.5% per annum increase in yield for Portfolio A will (increase/decrease)the value
3. The percentage change for a 3.5% per annum increase in yield for Portfolio B will (increase/decrease)the value
4. The volatility estimate using the EWMA model with =0.94 is
5. Percentage change in price is?