Question 58 (13 points) You have the following information on Freedom Bank. Total Assets = $21,250 million Total Liabilities = $19,650 million Duration of assets (DA) = 3.5 YEARS, Duration of Liabilities (DJ) = 4.7 YEARS Average yield on assets (y) = 5.25% Calculate the change in the Economic Value of Equity (EVE) if interest rates rise by 1.2%. (Hint: Calculate DGAP first and then change in EVE) USEFUL FORMULAS: DGAP = DA-DLX (MVL/MVA) AEVE = -DGAP[Ay/(1+y)]MVA