An investor has two bonds in his portfolio that have a face value of $1,000 and pay an 11% annual coupon, Bond L matures in 12 years, while Bond S matures in 1 year. Assume that only one more interest payment is to be made on Bond S at its maturity and that 12 more payments are to be made on Bond L. a. What will the value of the Bond L be if the going interest rate is 6%? Round your answer to the nearest cent. $ What will the value of the Bond S be if the going interest rate is 6%? Round your answer to the nearest cent. $ What will the value of the Bond L be if the going interest rate is 8%? Round your answer to the nearest cent. $ What will the value of the Bond S be if the going interest rate is 9%? Round your answer to the nearest cent. 5 What will the value of the Bond L be if the going interest rate is 12%? Round your answer to the nearest cent. $ What will the value of the Bond 5 be if the going interest rate is 12% Round your answer to the nearest cent. $ b. Why does the longer-term bond's price vary more than the price of the shorter term bond when interest rates change? 1. The change in price due to a change in the required rate of return decreases as a bond's maturity increases II. Long-term bonds have lower interest rate risk than do short-term bonds. III. Long-term bonds have lower reinvestment rate risk than do short-term bonds. IV. The change in price due to a change in the required rate of return increases as a bond's maturity decreases. V. Long-term bonds have greater interest rate nsk than do short-term bonds