Asked by
Larissa Aronson
on Dec 02, 2024
Verified
The amount borrowed through a bond is generally its:
A) coupon value.
B) face value.
C) par value.
D) either face value or par value.
Face Value
The nominal value printed on a bond or share, distinct from its market value.
Par Value
The face value of a bond or stock, representing the amount the issuer agrees to pay at maturity (for bonds) or as an arbitrary value assigned to shares.
- Gain insight into the principles behind bond valuation and the impact of market conditions on the pricing and yields of bonds.
Verified Answer
KF
Learning Objectives
- Gain insight into the principles behind bond valuation and the impact of market conditions on the pricing and yields of bonds.