A corporate bond being seriously considered for purchase by


Question: A corporate bond being seriously considered for purchase by First Security Savings Bank will mature 20 years from today and promises a 12 percent interest payment once a year. Recent inflation in the economy has driven the yield to maturity on this bond to 15 percent, and it carries a face value of $1,000. Calculate this bond's duration.

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Finance Basics: A corporate bond being seriously considered for purchase by
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