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Bond J is a 3 . 9 % coupon bond. Bond K is a 9 . 9 % coupon bond. Both bonds have 1 5
Bond J is a coupon bond. Bond K is a coupon bond. Both bonds have years to maturity, make semiannual payments and have a YTM of Do not round intermediate calculations. Negative answers should be indicated by a minus sign. Round the final answers to decimal places.
If interest rates suddenly rise by what is the percentage price change of these bonds?
Percentage change in price of Bond J
Percentage change in price of Bond K
What if rates suddenly fall by instead?
Percentage change in price of Bond J
Percentage change in price of Bond K
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