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Both Bond A and Bond B have 9 . 2 percent coupons and are priced at par value. Bond A has 6 years to maturity,

Both Bond A and Bond B have 9.2 percent coupons and are priced at par value. Bond A has 6 years to maturity, while Bond B has 20
years to maturity.
a. If interest rates suddenly rise by 1.8 percent, what is the percentage change in price of Bond A and Bond B?
Note: A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a
percent rounded to 2 decimal places.
Answer is complete but not entirely correct.
b. If interest rates suddenly fall by 1.8 percent instead, what would be the percentage change in price of Bond A and B ond B?
Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.
Answer is complete but not entirely correct.
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