A Debt Is Said to Be Selling at Par, When

question 34

Multiple Choice

A debt is said to be selling at par, when the _____ of the debt is equal to the _____. 

• A)par value; discounted value of the interest payments
• B)principal value; discount on the issue of a zero coupon bond
• C)face value; premium payment on the exercise of a call provision
• D)market value; face value of the debt
• E)maturity value; par value of the debt

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Definitions:

Strategic Alliances

Business agreements between two or more companies to work together toward achieving mutually beneficial strategic goals.

IT and Internet

The study and application of systems for storing, retrieving, and sending information through computers and telecommunication devices.

Bureaucracy

A system of government or business that is characterized by fixed rules, a hierarchy of authority, and a complex structure of administration and control.

Worker Empowerment

Strategies and practices that give employees authority and power to make decisions and contribute to the company's success.