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Sagot :
The principal amount of a bond that is repaid at the end of the loan term is called the bond's face value. Thus, the correct answer is option B.
What is a bond?
A bond is a fixed-income instrument that represents an investor's loan to a borrower (typically corporate or governmental). Companies, municipalities, states, and sovereign governments use bonds to finance projects and operations. Bondholders are the issuer's debtholders or creditors.
The face value of a bond refers to how much the bond will be worth on its maturity date. In other words, it is the amount of money the bondholder will receive when their investment matures.
Therefore, the face value of the bond is the principal amount of a bond that is repaid at the end of the loan term.
To learn more about a bond, click here:
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