Question

which of the following statements is correct? group of answer choices bondholders must hold their bonds until maturity to receive cash for their investment. bonds issued at more than their face value are said to be issued at a discount. none of the other answer choices are correct. bonds are always issued at their face amount.

Answer 1

Bond holders must hold their bonds until maturity to receive cash for their investment.

Who are Bond holders?

An investor or the owner of debt instruments, which are frequently issued by corporations and governments, is known as a bondholder.

Bond holders receive their principal investment back when the bonds mature in exchange.

Both phrases have a straightforward underlying concept: when you purchase a bond, you become a bondholder; when you purchase shares, you become a shareholder.

Bondholders do not, however, have the same advantages as shareholders.

For instance, bondholders do not automatically become the company's owners after purchasing bonds.

A bond is a loan made to the bond issuer by the bond buyer, or bondholder. When they require money, corporations, governments, and local governments all issue bonds.

Learn more about Bond holders, here

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