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39.) A 3-year fixed payment loan has an annual payment of $906. The interest rate for...

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Finance

39.) A 3-year fixed payment loan has an annual payment of $906.The interest rate for the loan is 7.7%. What is the duration (inyears) of the fixed-payment loan? Round your answer to at least 2decimal places.

Answer & Explanation Solved by verified expert
4.3 Ratings (932 Votes)
Duration measures the sensitivity to changes in interest rateIt is generally used for bonds and the higher the duration    See Answer
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39.) A 3-year fixed payment loan has an annual payment of $906.The interest rate for the loan is 7.7%. What is the duration (inyears) of the fixed-payment loan? Round your answer to at least 2decimal places.

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