Asked by Joseph Hernandez on May 12, 2024
Verified
Provide an appropriate definition of face value or par value.
Face Value
The nominal value stated on a financial instrument, such as a bond or stock certificate, representing its official worth.
Par Value
The nominal value or face value given to a security or bond by the issuer.
- Clarify the definition and significance of terms related to bond pricing, including par value, net price, and all-in price.
Verified Answer
CG
Crystal GlausMay 12, 2024
Final Answer :
The principal amount of a bond that is repaid at the end of the term.
Learning Objectives
- Clarify the definition and significance of terms related to bond pricing, including par value, net price, and all-in price.