Masons has a 5-year, 8 percent annual coupon bond with a $1,000 par value. Dixons has a 10-year, 8 percent annual coupon bond with a $1,000 par value. Both bonds currently have a yield to maturity of 8 percent. Which one of the following statements is correct if the market rate decreases to 7 percent?

A. Both bonds will decrease in value by 4.10 percent.

B. Masons bond will increase in value by $52.10.

C. Dixons bond will increase in value by 4.61 percent.

D. Masons bond will increase in value by $41.

E. Dixons bond will increase in value by 6.87 percent.