What Is the Duration of a Five-Year Zero-Coupon Bond

question 14

Multiple Choice

What is the duration of a five-year zero-coupon bond?

• A) 2.5 years
• B) 1 year
• C) 5 years
• D) 0 years

Comprehend how shareholder interests and management priorities can impact merger and acquisition decisions.

Calculate merger premiums and understand their significance in mergers and acquisitions.

Understand the impact of acquisition strategies (e.g., tender offers, board election staggering) on the acquisition process.

Analyze the accounting methods and treatment of goodwill in mergers and acquisitions.

---

Definitions:

Community Shopping Center

A type of retail complex that offers a broad range of goods and services, designed to serve the needs of the local community.

Suburban Mall

A large retail complex located in a suburban area, typically anchored by major department stores and featuring a wide range of smaller retailers and food outlets.

Downtown Area

The central business district of a city, often characterized by a high concentration of retail stores, office buildings, and cultural amenities.

Major Amusement Park

A large-scale theme park offering a variety of rides, shows, and attractions designed to cater to both adults and children.