Consider the following.

a.	What is the duration of a two-year bond that pays an annual coupon of 8 percent and whose current yield to maturity is 12 percent? Use $1,000 as the face value. (Do not round intermediate calculations. Round your answer to 3 decimal places. (e.g., 32.161))

Duration of a bond

b.	What is the expected change in the price of the bond if interest rates are expected to increase by 0.5 percent? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16))

Expected change in the price

$