11. What happens to the price of a three-year bond during year 1 with an 8% coupon if the market interest rate change from 9% to 6% and interest is paid semi-annually? (How much does the price change from t=0 to t=1) A. A price increase of $62.96

B. A price decrease of $51.54 C. A price increase of $37.17 D. No change in price

12. How much would an investor lose if she purchased a 30-year zero-coupon bond with a $1,000 par value and 10% yield to maturity, only to see market interest rates increase to 12% one year later? (Hint: How much would the price change from a year earlier?) A. $19.93 B. $20.00 C. $23.93 D. $25.66

please show work using finance calc