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Suppose a bank holds a $3,000,000, 5 year annual bond with a 6.5% coupon. The bank pays for this bond with a$3,000,000 1 year CD

Suppose a bank holds a $3,000,000, 5 year annual bond with a 6.5% coupon. The bank pays for this bond with a$3,000,000 1 year CD with an annual interest rate of 2.45% interest. If interest rates rise by 75 basis points, then by how much does the equity change as a result?

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