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Rank the following bonds in order of decreasing sensitivity to an interest rate change (from the most sensitive to the least sensitive): I. 9% coupon,

Rank the following bonds in order of decreasing sensitivity to an interest rate change (from the most sensitive to the least sensitive): I. 9% coupon, currently callable 20-year maturity premium bond II. Zero-coupon 30-year maturity bond III. 8% coupon, noncallable 20-year maturity par bond

I, II, III

II, III, I

III, I, II

III, II, I

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