Bond $J$ has a coupon rate of $4$ percent. Bond $K$ has a coupon rate of $9$ percent. Both

bonds have $8$ years to maturity, make semlannual payments, and have a YTM of $7$

percent.

If Interest rates suddenly rise by $5$ percent, what is the percentage price change of

Bond J$?$

$-27\mathrm{.}22\%$

$-25\mathrm{.}22\%$

$-27\mathrm{.}20\%$

$-26\mathrm{.}22\%$

If Interest rates suddenly rise by $5$ percent, what is the percentage price change of

Bond $K?$

$-24\mathrm{.}29\%$

$-22\mathrm{.}31\%$

$-24\mathrm{.}31\%$

$34\mathrm{.}00\%$

If Interest rates suddenly fall by $5$ percent, what is the percentage price change of

Bond J$?$

$40\mathrm{.}14\%$

$40\mathrm{.}12\%$

$-40\mathrm{.}42\%$

$-27\mathrm{.}24\%$

If Interest rates suddenly fall by $5$ percent, what is the percentage price change of

Bond $K?$

$35\mathrm{.}17\%$

$35\mathrm{.}05\%$

$-14\mathrm{.}16\%$

$-24\mathrm{.}33\%$