You are provided with the following characteristics for different bonds. Assume that the yield-to-maturity for all bonds is 9%.

1. Rank the given bonds from the lowest MV0 to the highest: *

A) FT-Bond; EX-Bond; TQ-Bond

B) EX-Bond; FT-Bond; TQ-Bond

C) EX-Bond; TQ-Bond; FT-Bond

D) FT-Bond; TQ-Bond; EX-Bond

E) None of the above

2. The durations of EX-Bond; TQ-Bond; FT-Bond in years are respectively: *

A) 2.8; 2.6; 3.5

B) 2.8; 3.5; 2.6

C) 3.5; 2.8; 2.6

D) 2.8; 7; 10.5

E) None of the above

3. The convexity of EX-Bond is equal to: *

A) 9.5

B) 9.3

C) 8.5

D) 4.15

E) None of the above

4. Assume that the YTM decreases by 150 basis points, which of the following statements is TRUE about EX-Bond? *

A) Its modified duration is more than the old duration by 4 months and 16 days

B) Its new price is higher than the old price by more than $35.9.

C) The percentage variation in its price is lower than 1%

D) All of the above

E) None of the above