Question
A pension plan is obligated to make disbursements of 2,000,000, 4,000,000, and 6,000,000 at the end of each of the next three years. The interest
A pension plan is obligated to make disbursements of 2,000,000, 4,000,000, and 6,000,000 at the end of each of the next three years. The interest rate is 3% annually. What is the present value of the obligation? What is the duration of the plan's obligation?
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Contemporary Financial Management Fundamentals
Authors: R. Charles Moyer, James R. McGuigan, Ramesh P. Rao
1st Edition
0324015771, 9780324015775
