Find the duration of the plans obligations if the interest


A pension plan is obligated to make disbursements of $10 million, $25 million, and $12 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 7% annually.

A. 2.672 years

B. 1.755 years

C. 3.224 years

D. 2.011 years

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Find the duration of the plans obligations if the interest
Reference No:- TGS02302906

Expected delivery within 24 Hours