JD Appliances Inc. (JDA) has just issued semi-annual coupon bonds with 10 years to maturity and a face value of $1,000 per bond. The bonds make semi-annual coupon payments of $50. Based on the information in the previous question, suppose market interest rates would increase from 7% to 8%. Using the concept of duration, approximately, what would be the percentage price change of JDA-zero-coupon bonds with a time to maturity of 4 years?

a) 0% b) 8% c) -2% d) -4% e) -8%

Please use equations to explain instead of excel, graphs, and financial calculator