-What is the weighted average duration of the liabilities of the FI?
A)5.00 years.
B)5.35 years.
C)5.70 years.
D)6.05 years.
E)6.40 years.

Question

-What is the weighted average duration of the liabilities of the FI?
A)5.00 years. 
B)5.35 years. 
C)5.70 years. 
D)6.05 years. 
E)6.40 years.

Quizplus · Accepted Answer

The weighted average duration of the liabilities of the FI is calculated based on the proportionate share of each liability's duration in the total liabilities. The correct answer is 5.35 years, which is the weighted average of the given durations.

-What Is the Weighted Average Duration of the Liabilities of the FI