Section 4 Flashcards
0
Q
Maturity
A
Is the date when a bond is due to be repaid.
1
Q
Par value
A
Is the amount a bond issuer must pay the buyer at maturity.
2
Q
Coupon rate
A
Is the interest rate a bond holder receives every year until maturity.
3
Q
Yield
A
Is the annual rate of return on a bond.
4
Q
Junk bonds
A
Are high risk, high-yield corporate bonds.
