Portfolio b consists of a 595-year zero-coupon bond with a

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Portfolio A consists of a 1-year zero-coupon bond with a face value of $2,000 and a 10-year zero-coupon bond with a face value of $6,000. Portfolio B consists of a 5.95-year zero-coupon bond with a face value of $5,000. The current yield on all bonds is 10% per annum.Show that both portfolios have the same duration.

Reference no: EM13576027

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