Assume the Market Value of a Position Is $100 000

question 31

Multiple Choice

Assume the market value of a position is $100 000 and that its modified duration is 3.30 years. Further assume that the potential adverse move in yield is 16.5 basis points. What are the daily earnings at risk for this position (round to two decimals) ?

• A) $54.45
• B) $544.50
• C) $54 450.00
• D) Not enough information to solve the question.

---

Definitions:

Conceptualizations

The process of forming a concept or idea by combining various conceived elements.

Health As Stability

The concept that health represents a state of equilibrium or balance in an individual's physical and emotional aspects.

Free From Illness

A state of health where an individual is not affected by any diseases or medical conditions.

Health As Actualization

A perspective that views health as the realization or achievement of a person’s potential and capacities.