3. Below are two semi-annual coupon bonds: A and B. Coupon rate Bonds A B 6% Years to Maturity 4 5 Yield to Maturity 10% 8% Duration (years) 3.58 4.09 10% a. Which bond is more sensitive to interest rate changes? b. Based on your answer in a and duration estimate, what is the estimated percentage change in bond price if interest rate drops by 0.5% and hence the bond's yield drops by 0.5%? C. If the bond in a has convexity of 20, what is the estimated percentage change in bond price if interest rate drops by 0.5% and hence the bond's yield drops by 0.5%