Consider the following bonds:
|
Bond Number
|
Maturity (yrs) Coupon Rate Frequency Yield (Annual)
|
|
1
|
10
|
6%
|
1
|
6%
|
|
2
|
10
|
6%
|
2
|
6%
|
|
3
|
10
|
0%
|
1
|
6%
|
|
4
|
10
|
6%
|
1
|
5%
|
|
5
|
9
|
6%
|
1
|
6%
|
How would you rank the bonds from the shortest to longest duration?
A. 5-2-1-4-3
B. 1-2-3-4-5
C. 5-4-3-1-2
D. 2-4-5-1-3