Which of the following is TRUE about a bond's face (par) value? Select one: a. the face value of a bond is the same as the bond's price b. the par value of a bond is the interest payment c. the face value of a bond changes when yields change d. the value of a bond will always be equal to par at maturity.

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter4: Time Value Of Money
Section4.6: Perpetuities
Problem 2ST
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Which of the following is TRUE about a bond's face (par) value?

Select one:
a.

the face value of a bond is the same as the bond's price

b.

the par value of a bond is the interest payment

c.

the face value of a bond changes when yields change

d.

the value of a bond will always be equal to par at maturity.

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