Bond J has a coupon rate of 5 percent. Bond K has a coupon rate of 8 percent. Both bonds have 6 years to maturity, make semiannual payments, and have a YTM of 8 percent. If interest rates suddenly rise by 3 percent, what is the percentage price change of Bond J? multiple choice

1 -13.71% -12.71% -13.69% -11.71%

If interest rates suddenly rise by 3 percent, what is the percentage price change of Bond K? multiple choice

2 -10.93% 13.33% -12.93% -12.91%

If interest rates suddenly fall by 3 percent, what is the percentage price change of Bond J? multiple choice

3 -13.73% -25.86% 16.38% 16.36%

If interest rates suddenly fall by 3 percent, what is the percentage price change of Bond K? multiple choice

4 15.39% 15.27% -11.93% -12.95%