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Q20. Interest rate sisk. Bond J has at coipon rabe of 3 persent. Eced K has a coupcri fate of 9 peroiet. Both bonds hive

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Q20. Interest rate sisk. Bond J has at coipon rabe of 3 persent. Eced K has a coupcri fate of 9 peroiet. Both bonds hive 16 yean to maturity. a par wive of $1,000, and a YTM of 6 percont, and boti make semarnual pirgments. If interest rates suddenly fise by 2 percerk, what is the percontage charye in thw price of these bonds? if interest rates suddenly far by 2 perciet insteact, atat as ine percentage change in the proe of these bonds? What does this problera bell you about the interist eale risk of longer-term bonds

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