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

By Dylan
Last Updated on

Looking for right answer to the question you searched for? Make sure to check below for the same:

Revised Finance Questions & Answers

 

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

  1. Coupon
  2. Face Value
  3. Maturity
  4. Yield to Maturity

ANSWER: 3. Face Value

 

Check Recently Added Questions & Answers on Finance

  • Which of the following are true for a coupon bond?
  • When a bond’s yield to maturity is less than the bond’s coupon rate, the bond:
  • The capital gains yield equals which one of the following?
  • The market interest rate related to a bond is also called the

 

ANSWER IN DETAIL

Face Value is the principal amount of a bond that is repaid at the end of the loan term. According to Investopedia, Face Value is defined as the value or price at which a share/stock/currency is listed on the share market.

 

Feel FREE to Bookmark below image->

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

Hope you find the answer!