Problem 3-16, Duration of zero a coupon bond and a perpetual bond

Principles of Corporate Finance

Brealey, Myers, and Allen

13th Edition

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Determine the duration of a perpetual bond and zero-coupon bond. Which has a longer duration?

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  • Search Terms: duration—a each %, %? ( + -year a an bond bond? duration each equal for formula has if in is longer makes of or payment perpetual perpetuity that the what which year yield yield)/yield. yields zero-coupon
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