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need help with this problem. Please show steps in MS format . thanks 19. Interest rate risk: The Faulk Corp has a 6 percent coupon

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need help with this problem. Please show steps in MS format . thanks

image text in transcribed 19. Interest rate risk: The Faulk Corp has a 6 percent coupon bond outstanding. The Gonas Company has a 14 percent bond outstanding. Both Bonds have 12 years to maturity, make semi annual payments, and have a YTM of 10 percent. If interest rates suddenly rise by 2 percent, what is the percentage change in price of these bonds? What if interest rates suddenly fall by 2 percent instead? What does this problem tell you about the interest rate risk of lower coupon bonds

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