The Term _____ Describes the Sum of the Par Value

question 20

Multiple Choice

The term _____ describes the sum of the par value of the issued par value stock and the consideration received (or stated value) for the no-par stock

• A) venture capital
• B) authorized capital
• C) preference capital
• D) stated capital
• E) bond capital

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Definitions:

Yield-to-Maturity

The total return anticipated on a bond if it is held until its maturity date, incorporating both interest payments and the adjustment of the bond's value.

Semi-annual

Occurring twice a year; pertaining to events, reports, payments, or dividends that happen or are issued every six months.

Yield to Maturity

The overall anticipated gain on a bond if retained until its expiration date.

Bearer Bond

A bearer bond is a type of fixed-income security that is not registered in the owner's name, allowing the holder of the document to collect the interest and principal payments.