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Use the Table for the Question(s)below

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Use the table for the question(s)below.
Consider the following four bonds that pay annual coupons: Use the table for the question(s)below. Consider the following four bonds that pay annual coupons:   -Assume that the YTM increases by 1% for each of the four bonds listed.Rank the bonds based upon the sensitivity of their prices from least (#1)to most (#4)sensitive.
-Assume that the YTM increases by 1% for each of the four bonds listed.Rank the bonds based upon the sensitivity of their prices from least (#1)to most (#4)sensitive.


Definitions:

Carbonyl Group

A functional group consisting of a carbon atom double-bonded to an oxygen atom, commonly found in aldehydes and ketones.

Polarized

Refers to a distribution of electrical charge leading to positive and negative poles within a molecule or chemical bond.

Electrophile

A chemical species that is attracted to electrons and typically accepts an electron pair to form a bond with a nucleophile.

Nucleophile

A chemical species that donates an electron pair to an electrophile to form a chemical bond in a reaction.

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