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Which of the following is NOT the amount that is originally borrowed or the amount that is repaid when the bond mature is due? A. Indenture. B. Par value. C. Principal amount. D. Maturity value. E. B, C, and D are correct.

Respuesta :

Answer: The correct answer is choice A.

Explanation: All of the choices except for A are terms that mean the amount that is originally borrowed in a bond issue, or the amount that is repaid upon maturity. Choice A, indenture, is the bond agreement between the issuer and the bond holders that outlines all of the terms of the bond.

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