Mr. Bird has $100 income this year and zero income next year. The market interest rate is 12% per year. Mr. Bird also has an investment opportunity in which he can invest $40 today and receive $80 next year. Suppose Mr. Bird consumes $40 this year and invests in the project. What will be his consumption next year? $100 $80 $88 $102.4 Consider a bond with a face value of $1,000, a coupon rate of 8%, a yield to maturity of 9%, and ten years to maturity. This bond's duration is: 7.1 years 7.6 years 8.7 years 6.5 years