A 14. 55-year maturity zero coupon bond selling at a yield to maturity of 7% effective annual yield has com e 7 and modified ration in sa ears A a year maturity 5% coupon bond making annual coupon payments also selling at a yield to maturity of 7% has nearly identical modified duration-13.96 years-but considerably higher convexity of 338.8 a Suppose the yield to maturit on both bonds increases to 8% What will be the actual percentage cap al oss on each bond? what percentage capital loss would be predicted the duration-with-convexity rule? (Do not round intermediate calculations. Round your answers to 2 decimal places.) n Bond Coupon Bond Actual loss Predicted loss b. Suppose he yield o maturity on both bonds decreases to 6 6 What will be he actual percentage capital an on each bond the duration-with-convexity rule? (Do not round intermediate calculations. Round your answers to 2 decimal places.) what percentage capita ain would be predicted Zero-Coupon Bond Coupon Bond Actual gain Predicted gain