SOA Exam FM Sample Question 102
Study guide: Exam FM-2
Rhonda purchases a perpetuity providing a payment of 1 at the beginning of each year. The perpetuity's Macaulay duration is 30 years.
Calculate the modified duration of this perpetuity.
- A) 28.97
- B) 29.00
- C) 29.03
- D) 29.07
- E) 29.10
Answer this question and see the worked solution