Both Bond A and Bond B have 6% coupon rate. Bond A has 5 years to maturity, while Bond B is 10 years to maturity. Both b

[answerhappygod]

Both Bond A and Bond B have 6% coupon rate. Bond A has 5
years to maturity, while Bond B is 10 years to
maturity. Both bonds have 8% yield to maturity (YTM),
and make seml-annually payment
a. If interest rates increase by 2%, determine the
percentage price change of both bonds.
b. If interest rate decrease by 2%, determine the
percentage price change for bonds
c. Explain the concept of maturity and coupon bonds
based on the answer in part a and b
d. Elaborate TWO (2) advantages of bond investing in
comparison to stock investing