Q$5$ A and B are two $20-$year bonds. A has a coupon of $4\%$ and $B$ has a coupon of $8\%.$ Assuming that both are trading at the same yield, what can be said about the duration of these bonds?

Q$6($a$)$ Calculate the bid$-$ask spread for the below direct quotes:

$\backslash$table$[[,$Bid,Ask$],[$US$$/,1\mathrm{.}4791,1\mathrm{.}4794]]$

$($b$)$ Identify which currency is the home currency and which is the foreign currency.

$($c$)$ What is the difference in meaning between the bid rate and the ask rate $[$from the viewpoint of a customer, not a broker dealer$]?$ Calculate the indirect quote for the bid rate and the ask rate.

$($d$)$ Give an explanation using simple language for what the bid direct quote means.