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The principle am punt (face value)of a bond Coupon Rate Moturity Pot Value Yield

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The principle am punt (face value)of a bond
Coupon Rate
Moturity
Pot Value
Yield

The principle am punt (face value)of a bond Coupon Rate Moturity Pot Value Yield

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ElodieMaster · Tutor for 5 years

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Among the options given, the principle amount (face value) of a bond out of these options is clearly defined as Par Value; hence the suitable response will be 'Par Value'.

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## Step1: <br />Understand the terminology used in the given bond question. Principle amount, which is also known as Face Value and Par Value, is the amount a bond issuer promises to pay to a bond holder when the bond matures. <br /><br />## Step2: <br />Identifying accurate information from the given options: <br /><br /> 1. Coupon Rate: This refers to the annual interest percentage the bondholder receive from the bond issuer.<br /> 2. Maturity: This denotes the final date on which the principal amount of a bond is paid to the bondholder and hence the bond life ended.<br /> 3. Par Value: Known as Face Value in our context indicates the nominal or face amount that will be returned to the bondholder at maturity.<br /> 3. Yield: Reflects the rate of return of the bond annually.
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