Duration

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Duration is the weighted average of the time it takes to receive each of the bond's cash flows.

Definitions

According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),

Duration. The weighted average of the time it takes to receive each of the bond's cash flows.

Related concepts

Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.

Related lectures

Introduction to Financial Management.

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