If interest rates increase 100 basis points the predicted dollar change in equity value will equal
A) $10,171,698
B) -$10,171,698
C) $12,724,528
D) -$12,724,528
E) $4,928,756 -[2.4 - ((850 - 82) /850) x 0.9] x 0.01/1.06 x 850,000,000 = -$12,724,528
Correct Answer:
Verified
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