You are managing a portfolio of $1 million. Your target duration is 10 years and you can choose from two bonds: a zero-coupon bond with maturity of seven years and a perpetuity, each currently yielding 5%.a. how much of each bond will you hold in your portfolio?

A pension plan is obligated to make disbursements of $1 million, $2 million, $5 million, and $1 million at the end of each of the next four years, respectively. If the plan wants to fully fund and immunise its position, how much of its portfolio should it allocate to one-year zero-coupon bonds and perpetuities, respectively, if these are the only two assets funding the plan? Assume the interest rate is 10% annually. Group of answer choicesDuration is 2.6019Duration is 2.7329Duration is 2.6873Duration is 2.5871

Assume the market yield is 9%, what is the duration of a 10-year zero coupon bond?Question 20Select one:a.Not enough information to determine the durationb.9.48c.10.00d.10.55

Consider Bond B with a face value of $300,000 to be repaid at maturity. The maturity of the security is 2 years. The coupon rate is 4% per annum and coupon payments are made semi annually. The current market rate is 4% p.a. What is the security’s duration (round your answer to two decimals)?Round your final answer to 2 decimal places.E.g. if the final  answer  is -3.59 years, type -3.59 in the answer box. If the final answer is 3.59 years, type 3.59 in the box .

What is the value of a $1000 bond if the investors' required rate of return is 11.5%, and it has 7 years until maturity. The coupon rate is 8%. (Please round your answer to the nearest dollar but exclude the $ sign and , when typing your answer.)

A 10-year coupon bond is selling at par.  It has a coupon rate of 5% and pays coupon interest annually.  What is the duration of the bond?Question 15Select one:a.8.11b.Not enough information to determine the durationc.5.10d.10.00