The par value of the bond is the rate at which payments will be made to the bondholder annually,in the form of interest.

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The par value of a bond is the face value of the bond, usually set at $1,000. It represents the amount that the issuer promises to repay the bondholder at the bond's maturity date. The interest rate or coupon rate is the rate at which payments will be made to the bondholder annually, not the par value.

The Par Value of the Bond Is the Rate at Which