Question 9 5 Points Balance sheet of a bank is as follows: Assets in millions), Total Assets = $500 Cash $20 (rate: 0%, D=0) Bonds $80 (rate: 7.2%, D=1.8 years) Commercial loans $400 (rate: 11%, D=1.5 years) Liabilities (Total Liabilities = $450) & Equity ($50) (in millions) Small time deposits $100 (rate: 3.6%, D=4.0 years) Large CDs $50 (rate: 6.3%, D=1.0 year) Transaction accounts $300 (rate: 2.8%, D=3.3 years) Equity $50 Duration of the liability portfolio is A 3.20 years. B 3.145 years. C 8.3 years. D) 2.73 years E) None of them is correct