II. Both Bond X and Bond Y have 6.0 percent couprons, make femiannual payments, and are priced at par value. Bond X has 2 years to maturity, whereas Eond Y hes +& yerrs to matucity. Both bonds have a par of these bond's? (2) If rates were to suddenly fall by 1 pereent instead, what would be the percentage change in the price of these bonds? (3) What does the differential change in the price of these bonds tell you about the interest rate risk of longer-term bonds? (18 points)