Q:
A:
An
order for corporate bonds marked "4M95." In
total this order would be worth?
a) $95
b) $380
c) $3,800
d) $4,950
e) $49,500
a) $95
b) $380
c) $3,800
d) $4,950
e) $49,500
The
correct answer is c
An order marked "4M95" means the investor
wishes to purchase 4 bonds at a price of $950 each.
Remember that the par
value of most bonds are $1,000.
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Par Value
The face value of a bond. Par value for a share refers to the ... 
Par
Short for "par value," par can refer to bonds, preferred stock, ... 
Effective Interest Method
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A term that refers to a bond, preferred stock or other debt obligation ... 
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