Question 5: Assume that as an investment manager at Oman investment fund; you hold a large bond portfolio Omani government bonds (long term), T-bills (short-terms) and mortgage securities. The interest rates are currently falling due to Covid-19. (1+1+1+1 = 4 Points) i. How the value of your bond portfolio would be affected by falling interest rates? ii. How the value of your t-bills portfolio would be affected by falling interest rates? iii. How the value of your mortgage securities portfolio would be affected by falling interest rates? iv. Economists are expecting that after a large-scale vaccination for Covid-19, economies around the world will rebound and there is a strong forecast of positive economic growth for the next year. How economic growth will affect the value of your bond portfolio during the next year? Question 6: Assume that you have invested in a bond, which has a duration of 5 years and a yield to maturity (YTM) of 9 percent. Calculate the percentage price change of the bond if the YTM changes to 10 percent? Note: A precise answer is required for this question (2 points)