ABC Bank has $39 million invested in T-Bonds with a 16-year duration, $39 million in 6 month maturity T-Bills, and $75 million invested in consumer loans with a 3 year duration. Based only on this data, what is the duration of the bank's asset portfolio in years?
A) 5.95 years
B) 5.68 years
C) 7.23 years
D) 8.78 years
E) 9.51 years
Correct Answer:
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