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    Exam 25: Derivatives and Hedging Risk
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    Calculate the Duration of Tiger State Bank's Assets and Liabilities
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Calculate the Duration of Tiger State Bank's Assets and Liabilities

Question 47

Question 47

Essay

  Calculate the duration of Tiger State Bank's assets and liabilities. Calculate the duration of Tiger State Bank's assets and liabilities.

Correct Answer:

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DA = (3/39)(0) + (8/39)(.6) + ...

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