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Management · Q153

International Finance and Treasury

Graduate and Post Graduate · Management · question 153

Q153

Call premium of bond is 760 and call price of bond is 560 then face value of bond is

A.
$200
Answer
B.
$300
C.
$1,320
D.
1.38%

Answer: Option A

Solution

Answer: Option A
Solution:
Face value of bond = Call premium of bond - Call price of bond
= 560 = $200
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