Five years ago, Mark bought a 7-year, . If the yield to maturity (compounded semi-annually) is 6%, what is the bonds duration today? Show the full calculations and explain what it tells us.

1. The Weisu Corporation has A and B shares. The A shares have voting rights of 10 votes per share but will never pay a dividend. The B shares carry voting rights of one vote per share, and they pay dividends whenever declared by the board. Which shares would likely have a higher price? Why? (Hint: different investors might have different preference) (4 marks