Bond J has a coupon rate of 6 percent. Bond K has a coupon rate
of 10 percent. Both bonds have 10 years to maturity, make
semiannual payments, and have a YTM of 7 percent.
If interest rates suddenly rise by 3 percent, what is the
percentage price change of Bond J?
-19.16%
-19.18%
-17.18%
-18.18%
If interest rates suddenly rise by 3 percent, what is the
percentage price change of Bond K?
32.91%
-17.57%
-15.57%
-17.55%
...