| 1. | the average time that an unstable particle or nucleus survives before it decays. |
| 2. | decay time. |
Average Life
An estimate of the number of terms to maturity, taking the possibility of early payments into account. Average life is calculated using the weighted average time to the receipt of all future cash flows.
Investopedia Commentary
This is often used in sinking funds.
See also: Duration, Maturity, Principal, Sinking Fund Provision