You are the manager of a portfolio consisting of three bonds in equal par amounts of $1,000,000 each. The first table below shows the market value of the bonds and their durations. (The price includes accrued interest.) The second table contains the market value of the bonds and their durations one vear later Initial Values Securit Price Market Value Duration Dollar Duratio $105.23 97.63 108.34 1,180,362 Bond 1 Bond2 Bond 3 963,414 1,050,628 6.1 4.9 5.5 Portfolio Dollar Duration After 1 Year Initial Values Security Price Market Value Duration Dollar Duratio Bond 1 Bond2 Bond 3 $104.36 98.3 107.61 $1,175,214.00 959,841 1,048,556 5.2 4.1 Portfolio Dollar Duration As manager, you would like to maintain the portfolio's dollar duration at the initial level by rebalancing the portfolio. You choose to rebalance using the existing security porportions of one-third each Calculate a. The dollar durations of each of the bonds b. The rebalancing ratio necessary for the rebalancing c. The cash required for the rebalancing You are the manager of a portfolio consisting of three bonds in equal par amounts of $1,000,000 each. The first table below shows the market value of the bonds and their durations. (The price includes accrued interest.) The second table contains the market value of the bonds and their durations one vear later Initial Values Securit Price Market Value Duration Dollar Duratio $105.23 97.63 108.34 1,180,362 Bond 1 Bond2 Bond 3 963,414 1,050,628 6.1 4.9 5.5 Portfolio Dollar Duration After 1 Year Initial Values Security Price Market Value Duration Dollar Duratio Bond 1 Bond2 Bond 3 $104.36 98.3 107.61 $1,175,214.00 959,841 1,048,556 5.2 4.1 Portfolio Dollar Duration As manager, you would like to maintain the portfolio's dollar duration at the initial level by rebalancing the portfolio. You choose to rebalance using the existing security porportions of one-third each Calculate a. The dollar durations of each of the bonds b. The rebalancing ratio necessary for the rebalancing c. The cash required for the rebalancing