Here are data on $$$$1$ comma $000$ par value bonds issued by$$ Microsoft, GE$$ Capital, and Morgan Stanley. Assume you are thinking about buying these bonds. Answer the following$$ questions:

a$.$ Assuming interest is paid$$ annually, calculate the values of the bonds if your required rates of return are as$$ follows: Microsoft, $3$percent; GE$$ Capital, $7$percent; and Morgan$$ Stanley, $11\mathrm{.}5$percent; where: Data table b$.$ The bonds are selling for the following$$ amounts:Microsoft $$1424,$ Ge Capital $$879,$ Morgan stanley $$808$

What are the expected rates of return for each$$ bond?

c$.$ How would the value of the bonds change if$(1)$ your required rate of return $($r Subscript b$)$ increased $2$ percentage points or$(2)$ decreased $2$ percentage$$ points?

d$.$ Explain the implications of your answers in part c in terms of interest rate$$ risk, premium$$ bonds, and discount bonds.

e$.$ Should you buy the$$ bonds? Explain. $$