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A financial instrument provides three future cash flows: $1,710.00 at the end of 3 years $1,051.74 at the end of 8 years $2,105.93 at the
A financial instrument provides three future cash flows:
- $1,710.00 at the end of 3 years
- $1,051.74 at the end of 8 years
- $2,105.93 at the end of 14 years
Calculate the duration (D) of the financial instrument at a yield of 6% pa compounded yearly. Give your answer in years to 2 decimal places.
D = years
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