E On December 31, 2008 your company estimates that it will pay $10 million in 2009 and subsequent years on claims incurred in 2008 and prior years. It expects the payout pattern to be as follows: Yea r Cumulative payments 2008 60% 2009 80% 2010 90% l 2012 100% Determine the duration (both Macaulay and Modified) of the claims payments assuming that they are paid at the end of each calendar year and the effective interest rate is 10%