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What Is the Difference Between a Bond's Face Value and Its

Question 119

Multiple Choice

What is the difference between a bond's face value and its par value?


A) The face value is the initial price; the par value is the value at maturity.
B) The par value is the initial price; the face value is the value at maturity.
C) The face value is the par value plus the interest on the loan.
D) The par value is the face value plus the interest on the loan.
E) There is no difference.

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