A 13.25-year maturity zero coupon bond sell ngat ayield to maturity of 8% effective annual yield has annual coupon payments also selling at a yield to maturity of 8% has nearly identical modifi a. Suppose the yield to maturity on both bonds increases to 9%. What will be the actual percentage capital of 160.0 and niu-mou-ura-on of 12.25 years. A 40-year maturity 6% coupon bond making ed duration 12.05 year considerably higher convexity of 2500 loss on each bond? What percentage capital loss would be predicted by the duration-with-convexity rule? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Zero-Coupon Bond Coupon Bond Actual loss Predicted loss b. Suppose the yield to maturity on both bonds decreases to 7%. What will be the actual percentage capital gain on each bond? What percentage capital gain would be predicted by the duration-with- convexity rule? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Actual gain Predicted gain ReferenceseBook & Resources