Suppose you were choosing between two U.S. Treasury bonds, each with a 5% coupon paid semiannually, i.e., $25 every six months for a $1,000 bond. Both bonds currently sell at their $1,000 par value, but Bond L (for long) has a maturity of 30 years while Bond S (for short) has a maturity of 1 year, What are the nominal and the effective annual yields on each bond? If the required return on each bond suddenly rose to 10%, what would happen to their prices? If you planned to invest $1 million in one or the other of these bonds and then to live on the income they provided, would you consider them to be equally risky? In answering this question, assume that you are making the decision in the original situation, with the bonds selling at $1,000 each, and consider the effects of changing interest rates on your income and your portfolio value. What factor or factors might lead to large changes in interest rates on (a) Treasury bonds, (b) strong corporations, and (c) weak corporations