What Is the Macaulay's Duration of a 10 Year Zero-Coupon

question 45

Multiple Choice

What is the Macaulay's duration of a 10 year zero-coupon bond with a face value of $1,000 and a market rate of 8%, compounded annually is:

• A) 10 years
• B) 11 years
• C) 12 years
• D) 13 years
• E) None of the above

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Definitions:

Foreign Operation

Foreign operation pertains to business activities conducted in a country different from the company's home country, involving adapting strategies to international markets.

Domestic Markets

The market within a country's borders, representing the trading of goods and services within the same nation.

Exporting Products

The act of selling goods and services produced in one country to other countries.

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