... years92.1)10.1(090,1$)10.1(90$)10.1()2(090,1$)10.1(90$)1()1()(DUR212111=++=++=∑∑==ntttntttkCktC 1 Chapter 8Bond Valuation and RiskFinancial Markets and Institutions, 7e, Jeff MaduraCopyright ... average of bond durations, weighted according to relative market value:∑==mjjjpw1DURDUR 2 Chapter OutlineBond valuation processRelationships between coupon rate, required return,...