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We are considering investing in one of the following two bonds. The one is a 2 year, 7% versus one which is 25 year, 3%

We are considering investing in one of the following two bonds. The one is a 2 year, 7% versus one which is 25 year, 3% bond. Which shall we choose, if we predict that rates will rise from 10% to 12 % in the future one year? Compute the exact amount more we shall make by investing in the right one

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