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Both Bond Sam and Bond Dave have 10 percent coupon bonds outstanding, with semiannual interest payments, and both are currently priced at the par

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Both Bond Sam and Bond Dave have 10 percent coupon bonds outstanding, with semiannual interest payments, and both are currently priced at the par value of $1,000. Bond Sam has five years to maturity, whereas the Bond Dave has 16 years to maturity. a. If interest rates suddenly rise by 2 percent, what is the percentage change in the price of each bond? Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. b. If rates were to suddenly fall by 2 percent instead, what would be the percentage change in the price of each bond? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. a. Percentage change in price of Bond Sam Percentage change in price of Bond Dave b. Percentage change in price of Bond Sam Percentage change in price of Bond Dave % % % %

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