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Suppose that a company has undertaken a financial restructuring, which will improve its financial situation. In this way, it is expected that the spread of

Suppose that a company has undertaken a financial restructuring, which will improve its financial situation. In this way, it is expected that the spread of its bonds placed in the market will be reduced by 150 p.b. (basis point). If the modified duration of the bonds is 3 years, and the risk-free rate at that term is 2.5%, indicate how much the price of these instruments would change.

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