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The Duration of a Par-Value Bond with a Coupon Rate

Question 46

Multiple Choice

The duration of a par-value bond with a coupon rate of 8.7% and a remaining time to maturity of 6 years is

A) 6.0 years.
B) 5.1 years.
C) 4.27 years.
D) 3.95 years.
E) None of the options are correct.

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