In September 2014 you are considering buying a government bond. In your system you see a government bond that expires in September 2024. The annual coupon rate is 5 percent. The principal is EUR 1,000. Interest is paid each March and September. The market interest rate is 3 percent per year. a. What is the price of the bond? If the bond is currently trading at EUR 1,180, calculate the YTM? Would you buy and/or sell? (Explain) b. If the market interest rate unexpectedly increases, what effect would you expect this increase to have on the price of the bond? (Please give full explanation)