You are a financial consultant who specializes in fixed income investments. You have been recently hired to advise Lovett, Inc., on their bond portfolio. Lovett is risk averse with respect to its bond investments. Also, Lovett has told you their intent is to hold their fixed in investments to maturity. Lovett has three U.S. treasury bonds that they are considering. Bond Type Par Value Coupon Yield to Maturity Maturity (years)

A Zero coupon $1,000 8% 10

B Coupon $1,000 12% 8% 10

C Coupon $1,000 5% 8% 10

What bond do you recommend they buy? What bond is the riskiest? What bond is the safest? You must quantitatively justify your answers.