### MDURATION(settlement, maturity, coupon, yld, frequency [,basis])

Returns the modified duration for a security that pays interest periodically.

 settlement The settlement date of the security. maturity The maturity date of the security. coupon The annual coupon rate of the security. yld The annual yield of the security. frequency The number of coupon payments per year:1 = annual2 = semi annual4 = quarterly basis (Optional) The type of day counting to use:0 = US 30/360 (default)1 = Actual/Actual2 = Actual/3603 = Actual/3654 = European 30/360

#### Remarks

 * This function assumes the par value is \$100.* This function calculates the annual modified duration for a security with regular interest payments adjusted for markey yield per number of coupon payments a year.* Duration is the weighted average of the coupon payment cash flows and is a measure of the bond's interest rate risk and MDuration divides the duration by (1 + yield/frequency).* Dates must be entered as text strings with quotation marks or as serial numbers.* The "settlement" date is the date a buyer purchases a coupon, such as a bond.* If "settlement" is not a valid date, then #NUM! is returned.* If "settlement" >= "maturity", then #NUM! is returned.* The "maturity" is the date when the security expires.* If "maturity" is not an integer, it is truncated.* If "maturity" is not a valid date, then #NUM! is returned.* If "yld" < 0, then #NUM! is returned.* If "coupon" < 0, then #NUM! is returned.* If "frequency" is not an integer, it is truncated.* If "frequency" is any number other than 1, 2, or 4, then #NUM! is returned.* If "basis" is left blank, then 0 is used.* If "basis" is not an integer, it is truncated.* If "basis" < 0, then #NUM! is returned.* If "basis" > 4, then #NUM! is returned.* In Excel 2007 the accuracy of this function was improved.* For the Microsoft documentation refer to support.microsoft.com

 A 1 =MDURATION("1/1/1999","1/1/2007",0.08,0.09,2,1) = 5.736 2 =MDURATION("1/1/1999","1/1/2007",0.08,0.09,2,2) = 5.736 3 =MDURATION("1/1/1999","1/1/2007",0.08,0.09,2,3) = \$5.74 4 =MDURATION("1/1/1999","1/1/2007",0.12,0.15,2) = \$4.78 5 =MDURATION("1/1/1999","1/1/2007",0.08,0.09,2,-1) = #NUM! 6 =MDURATION("1/1/1999","1/1/2007",0.08,0.09,2,5) = #NUM!