Answer: D

The correct answer is D. Key rate duration is calculated as: -1/P × (ΔP/Δy) where P is the initial price. Here: -1/25.11584 × (25.01254 - 25.11584) / 0.0001 = 41.13. This means the security has a key rate duration of 41.13 years for the 30-year rate shift, indicating significant sensitivity to changes in the long-term interest rate.

Author: LeetQuiz Editorial Team