Skip navigation

MDURATION: Calculating the duration of a security using the Macaulay's method

MDURATION: Calculating the duration of a security using the Macaulay's method: Excel 2016: Financial Functions in Depth
MDURATION: Calculating the duration of a security using the Macaulay's method: Excel 2016: Financial Functions in Depth

Another way to evaluate a bond is to use the modified DURATION, or MDURATION function. The MDURATION function divides a bond’s duration by 1 plus the market yield divided by the number of coupon payments per year. The resulting figure is more conservative than the straight duration calculation because it’s less sensitive to changes in yield.

  • Overview
  • Transcript
  • View Offline
Resume Transcript Auto-Scroll
Skill Level Intermediate
2h 38m
Duration
36,754
Views
Show More Show Less
Skills covered in this course
Business Spreadsheets Excel

Continue Assessment

You started this assessment previously and didn't complete it. You can pick up where you left off, or start over.

Start Your Free Trial Now

Start your free trial now, and begin learning software, business and creative skills—anytime, anywhere—with video instruction from recognized industry experts.

Start Your Free Trial Now