The ____ of a debt issue is equal to the difference between the ____ and the ____.
A) call price; market price; par value
B) call price; market price; call premium
C) call premium; call price; par value
D) call premium; market price; par value

Question

Quizplus · Accepted Answer

The call premium of a debt issue is the difference between the call price (the price at which an issuer can redeem a bond before its maturity) and the par value (the nominal or face value of a bond).

The ____ of a Debt Issue Is Equal to the Difference