Calculation of the duration Interstate Settlement date 11/6/2018 Maturity date 11/6/2021 Coupon rate (decimal) Time Column E Payment Payment discounted at 10.00% payment Weight Column II 8% coupon bond YTM (decimal) Coupons per year Duration Modified Duration years Sun: Duration vears (%) D-D/(1+y) Duration Modified Duration Zero-coupon bond Sum Duration Using Excel functions to compute duration Bond duration Settlement date Maturity date Coupon rate (decimal) YTM Coupons per year 1/1/2019 1/1/2022 8.00% 10.00% Macaulay duration Modified duration DURATION =MDURATION %