Match each description below to the appropriate term (a-g).

-The face amount of each bond
A)Contract rate
B)Effective rate
C)Bond discount
D)Bond premium
E)Bond
F)Bond indenture
G)Principal

Question

Match each description below to the appropriate term (a-g).
​
-The face amount of each bond
A)Contract rate
B)Effective rate
C)Bond discount
D)Bond premium
E)Bond
F)Bond indenture
G)Principal

Quizplus · Accepted Answer

The principal is the face amount of each bond, which is the amount that will be paid back to the bondholder at maturity.

Match Each Description Below to the Appropriate Term (A-G)