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Bond J has a coupon rate of 7 percent and Bond K has a coupon rate of 1 3 percent. Both bonds have 1 6
Bond J has a coupon rate of percent and Bond K has a coupon rate of percent. Both bonds have years to maturity, make semiannual payments, and have a YTM of percent.
a
If interest rates suddenly rise by percent, what is the percentage price change of these bonds? A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to decimal places, eg
b What if rates suddenly fall by percent instead? Do not round intermediate calculations and enter your answers as a percent rounded to decimal places, eg
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