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The maturity value of the bond is its par value. The par value of bond is the amount that an entity intends to borrow when it issues the bond.
B. The maturity value of the bond is its par value. A. The par value of bond is the amount that an entity intends to borrow when it issues the bond. Which of the following statements is FALSE regarding a bond which has a par value of $1,000 and promises to pay 8% interest semi-annually? A. The par value of bond is the amount that an entity intends to borrow when it issues the bond. B. The maturity value of the bond is its par value. C. The 8% interest rate is the stated or contract rate of interest. D. Interest of $80 will be paid every six months.
