Question 4 An investor is considering a corporate bond. The bond has a face value of $1,000 and a coupon rate of 8.95% per annum with semi-annual payments and a maturity of two years. The yield-to-maturity of the bond is 5.85% per annum, compounded semi-annually, a. Calculate the price of each of the coupon bonds. b. Calculate the modified duration for each of the coupon bonds, c. If interest rates change over time, explain the two risks faced by the holder of a bond