The duration of a perpetuity with a yield of 8% is

A) 13.50 years.
B) 12.11 years.
C) 6.66 years.
D) Cannot be determined

Perpetuity

A type of annuity that pays a consistent amount indefinitely, with no end date.

Yield

The income return on an investment, such as the interest or dividends received, expressed as a percentage of the investment's cost or current market value.

Duration

A measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates, typically expressed in years.