Suppose you purchase a coupon bond with 20 years to maturity for $1,000. Assume the bondpays coupons of $70 per year.a. Suppose after one year you must sell the bond to help pay for tuition. Assume further thatinterest rates have risen so that the price of the bond has fallen to $950. What is the rate of return(in % terms) that you earned for holding this bond for one year?b. What was the size (in both dollars, $, and in % terms) of the capital gain or loss?c. Is it possible to make negative returns on a long-term U.S. government bond if the holdingperiod is less than maturity of the bond? Briefly explain.d. What name do we apply (and briefly explain) the type of risk long-term bond holders bearwhen the holding period is less than maturity?