The Principal Value of Debt Is

question 116

Multiple Choice

The principal value of debt is:

• A) the amount added to interest payments to be repaid at the maturity date.
• B) the amount owed to the lender.
• C) the sum of all interest payments during the life of the debt.
• D) the amount of adjustment in the maturity value of the debt due to interest rate fluctuations.
• E) the sum of interest and inflation adjusted par value of debt.

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