Suppose you purchase a $10-$year AAA$-$rated British bond for par that is paying an annual coupon of $7$ percent and has a face value of $1,000$ British Pounds $().$ The spot rate is US$$1\mathrm{.}004$ for $.$ At the end of the year, the bond is downgraded to AA and the yield increases to $10$ percent. In addition, the new spot rate becomes US$$0\mathrm{.}965$ for $.$What is the loss or gain to a U$.$S$.$ investor who holds this bond for a year?Multiple Choice$9\mathrm{.}88$ percent loss$14\mathrm{.}03$ percent loss$14\mathrm{.}28$ percent loss$13\mathrm{.}76$ percent loss$10\mathrm{.}22$ percent loss