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Question 10 (2 marks) Your company owns the following bonds: Bond Market Value Duration A $13 million 2 B $18 million 4 $20 million 3

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Question 10 (2 marks) Your company owns the following bonds: Bond Market Value Duration A $13 million 2 B $18 million 4 $20 million 3 If general interest rates decrease from 8.5% to 8%, what is the approximate change in the $ value of the portfolio? You must show your calculation, otherwise, your mark will be deducted

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