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a bond's par value can also be called its: question 7 options: present value. coupon payment. face value. market value.

User Duckling
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Final answer:

A bond's par value is also known as its face value, which is different from the coupon payment, market value, and present value of the bond.

Step-by-step explanation:

In the context of bond investments, a bond's par value is also known as its face value. This is the principal amount that the issuer of the bond promises to pay the bondholder upon the bond's maturity. The par value is distinct from other terms such as coupon payment, which is the periodic interest payment received by the bondholder, and market value, which is the current price at which the bond is traded. Additionally, the present value represents the current value of the bond's future cash flows, discounted at the market interest rate, and may differ from the bond's face value.

User Pujan Shah
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Final Answer:

A bond's par value can also be called its face value.

Step-by-step explanation:

Par Value: The term "par value" refers to the face value of a bond, which is the amount that the bond will be worth when it matures.

Present Value: Present value is not the same as par value. Present value is the current value of a future sum of money, discounted at a particular rate.

Coupon Payment: Coupon payment is the periodic interest payment made by the bond issuer to the bondholder. It is not synonymous with par value.

Market Value: Market value is the current price at which a bond can be bought or sold in the market. It may or may not be equal to the par value, depending on various market factors.

In summary, the correct option is "face value" because it accurately represents the par value of a bond.

User Ana Betts
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