City bank has six-year zero coupon bonds with a total face value of $20 million.The current market yield on the bonds is 10 percent. What is the modified duration of these bonds?
A) 5.45 years.
B) 6.00 years.
C) 6.60 years.
D) 10.0 years.
E) 10.9 years.
Correct Answer:
Verified
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