Bond A B D Coupon Rate (annual payments) 0% 0% 5% 11% Maturity Iyears) 17 10 17 10 a. What is the percentage change in the price of each bond if its yield to maturity fails from 5% to 4% b. Which of the bonds A-Dis most sensitive to a 1% drop in interest rates from 5% 10 4% and why? Which bond is least sensitive? Provide an intuitive explanation for your answer Note Assume arvual compounding a. What is the percentage change in the price of each bond if its yield to maturity falls from 5% to 442 The percentage change in bond Ais (Round to two decimal places) The percentage change in bond B Round to two decimal places The percentage change in bonds (Round to two decimal places) The percentage change n bonds (Round to two decimal places) b. Which of the bonds Athough is most sensitive to a 1% drop in interest rates, from 5% to 4%, and why? (Select the best choice below) O Bond because it has the lowest coupon and longest many OB Bend because it has the lowest coupon and shortest mahnity OC Bond because it has the stones maily and is the coupon bond with the lowest coupon OD Bond borders high coupon and shortest