The principle on a callable bond must be paid upon the demand of the bond holder.

Name: The principle on a callable bond must be paid upon the demand of the bond holder.
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Question

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A callable bond gives the issuer the option to redeem the bond before its maturity date, but the principle must still be paid at maturity if the bond is not called. Therefore, the principle on a callable bond is not paid upon the demand of the bond holder.

The Principle on a Callable Bond Must Be Paid Upon