The present value of a bond is always less than the face value of the bond
Indicate whether the statement is true or false
False
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The two provisions which investors should carefully consider when evaluating stock options are the
A) strike price and the exchange ratio. B) time until expiration and the strike price. C) leverage ratio and the time to maturity. D) premium and the discount.
An earned income credit is a special credit that reduces the amount of taxes owed by taxpayers who earn high incomes
Indicate whether the statement is true or false.
Explain expectancy, and describe the roles of the effort-to-performance link and the performance-to-outcome link in expectancy theory.
What will be an ideal response?
A company issues a callable (at par) 20-year, 5% coupon bond with annual coupon payments. The bond can be called at par in one year after release or any time after that on a coupon payment date
On release, it has a price of $102 per $100 of face value. What is the yield to call of this bond when it is released? A) 2.94% B) 4.11% C) 5.60% D) 6.66%