32 Duration Per and Birthe Clausen have a son who will begin university three years from today....

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32 Duration Per and Birthe Clausen have a son who will begin university three years from today. Expenses of

€30,000 will need to be paid at the beginning of each of the four years that their son plans to attend university.

What is the duration of this liability to the couple if they can borrow and lend at the market interest rate of 10 per cent?

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Corporate Finance

ISBN: 9781526848093

4th Edition

Authors: David Hillier

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