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QUESTION 14 You have a 25-year maturity 10 2% coupon, 10 25 yield bond with a duration of 10 years and a convexity of 1357

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QUESTION 14 You have a 25-year maturity 10 2% coupon, 10 25 yield bond with a duration of 10 years and a convexity of 1357 (The bond is currently priced at $1,000) If the interest rate were to fall 127 basis points (or 1 275), your predicted new price for the bond using Ducation and Convexity Rules O 51,090.74 51.715.20 51,126.10 O 51.104 26

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