Consider two bonds with the same yield to maturity of 6% (nominal annual, com

pounded semi-annually) but difffferent characteristics: bond A is a 5-year bond with semi-annual

coupons of $7 (per $100 face value), whereas bond B is a 4-year zero-coupon-bond. Calculate

the Macaulay duration of each bond; if you expected yields to increase, which bond would you

invest in?