Question: ! Please show calculations without using excel, thanks in advance You must invest $ 1 0 0 , 0 0 0 , and the bonds

!Please show calculations without using excel, thanks in advance
You must invest $100,000, and the bonds listed below from A to E are the only
investments available today (assume
that it is possible to buy a fraction of a bond in order to invest the full $100,000). Assume all these bonds have the
same yield-to-maturity (4%; APR, compounded semi-annually):
A. A bond with 6 years to maturity and a zero coupon rate (discount bond).
B. A bond with 6 years to maturity and a 4% coupon rate (coupons are paid semi-annually).
C. A bond with 6 years to maturity and a 4% coupon rate (coupons are paid annually).
D. A bond with 4 years to maturity and a 7% coupon rate (coupons are paid semi-annually).
E. A bond with 4 years to maturity and a 5% coupon rate (coupons are paid semi-annually).
a) Rank these bonds according to their interest rate sensitivities, from the most interest rate sensitive to the least
interest rate sensitive.
b) If you want to profit from an unexpected decrease in market interest rates, which bond should you purchase?
c) What is the duration of the bond you chose in part b)?
d) If you are worried that market interest rates might increase unexpectedly, which bond should you purchase?

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