Which one of the following is false? The amount that will be repaid at the end of the loan is called the bond’s par value. Coupon is the stated interest payment made on a bond. The annual coupon divided by the face value is called the face on the bond. When a corporation or government wishes to borrow money from the public on a long-term basis, it usually does so by issuing or selling debt securities that are generically called bonds. The interest rate required in the market on a bond is called the bond’s yield to maturity.
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Which one of the following is false? The amount that will be repaid at the end of the loan is called...
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