1. A large finance company has assets of 12 bil and liabilities of 9 bil. The Macaulay duration of the assets are 6.5 years. The Macaulay duration of the liabilities is 6 years.
   1. What is the Macaulay duration of the net equity?
   2. The company would like to immunize its net equity position by restructuring 2 billion of its liabilities. What is the required duration of the two billion dollar portion of the liabilities in order to immunize its net equity position?