A pension plan is obligated to make disbursements of $1 million, $2 million, and $1 million at

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A pension plan is obligated to make disbursements of $1 million, $2 million, and $1 million at the end of each of the next three years, respectively. Find the duration of the plan's obligations if the interest rate is 10% annually?

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Essentials of Investments

ISBN: 978-0077835422

10th edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

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Question Posted: Nov 30, 2017 10:10 AM

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A pension plan is obligated to make disbursements of $1 million, $2 million, and $1 million at

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The computation of duration is as follows Interest Rate YTM ...View the full answer

Essentials of Investments

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