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Cash flows are 40,000 at time 2 (in years), 25,000 at time 3, and 100,000 at time 4. The annual effective yield rate is 7.0%.
Cash flows are 40,000 at time 2 (in years), 25,000 at time 3, and 100,000 at time 4. The annual effective yield rate is 7.0%. Calculate the Macaulay duration.
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