This problem investigates the sensitivity of the prices of bonds carrying differing coupon rates to interest rate changes. Bonds K and L both have a face value of $1000 and 15 years remaining until maturity. Their coupon rates are 6% and 8% respectively. If the prevailing market rate decreases from 7.5% to 6.5% compounded semiannually, calculate the price change of each bond:
a. In dollars.
b. As a percentage of the initial price.
c. Are high-coupon or low-coupon bonds more sensitive to a given interest rate change? Justify your response using the results from Part (b).