contestada

Your friend Michelle is starting a fitness center that specializes in helping people get in shape through exercise and eating healthy. Because her business is new and risky, she is unable to obtain a loan from the local bank. You agree to pay $7,500 for a one-year bond from Michelle with an interest rate of 5 percent. The face value of the bond is

Respuesta :

urm0mskalesalad

Answer:

$7,875.00.

Explanation:

gauravsingh23VT

$7,875.00 is the face value of the bond, as it is agreed to pay $7,500 for a one-year bond from Michelle with an interest rate of 5 percent.

What is face value?

Face value is the nominal or the dollar value of the security, that is prescribed by the issuer, it is a financial term in the security market. In the stock, it is the original value which is written in the certificate of the stock.

If 5 percent is received on a bond of $7,500 then it will accumulate to an amount of $7,875.00, Which is also the face value of the bond.

Thus, face value is $7,875.00

For more details about Face value, click here:

https://brainly.com/question/14294215

#SPJ2

Otras preguntas