What Is the Principal Amount of a Bond That Is

question 87

Multiple Choice

What is the principal amount of a bond that is repaid at the end of the loan term called?

• A)Coupon
• B)Market price
• C)Accrued price
• D)Dirty price
• E)Face value

Understand and apply discounts and markups in pricing strategies.

Calculate depreciation values and understand its impact on asset valuation.

Understand the concept of equity and debt financing in a business context.

Apply concepts of percentage change to demographic and economic indicators.

---

Definitions:

Stock

Ownership shares in a corporation, representing a claim on part of the corporation's assets and earnings.

Stockbroker

A person licensed to assist investors in buying and selling securities for a commission.

Securities Analyst

A financial professional who conducts research, analyzes securities, and provides investment recommendations based on their findings.

Market Maker

A firm or individual who actively quotes two-sided markets, providing offers to buy and sell securities, thus facilitating liquidity in the markets.