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Suppose you have a two-security portfolio containing bonds A and B. The book value of bond A is $20 and the market value is $35.

Suppose you have a two-security portfolio containing bonds A and B. The book value of bond A is $20 and the market value is $35. The book value of bond B is $40 and the market value is $50. The modified duration of bond A is 4.7 and the modified duration of bond B is 5.9. What is the modified duration of the portfolio?

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