The University of California has two bonds outstanding. Both issues have the same credit rating, a face value of $1,000 and a coupon rate of 6%. Coupons are paid twice a year. Bond A matures in 1 year, while bond B matures in 30 years. The market interest rate for similar bonds is 8% (quoted as a semi-annual simple interest rate, so 4% per 6-month period). Part 1 What is the price of bond A? Part 2 What is the price of bond B? Part 3 Now assume that yields increase to 11%. What is the price of bond A? Part 4 What is now the price of bond B?