Which of the following statements relating to bonds is incorrect? * O The owner of a registered bond is the person to whom interest payments are mailed. O A bond's face value is the amount the issuer must pay to the bondholder at maturity. O A bond is a debt instrument giving the issuer fiexibility as to maturity date. A bond will typically sell at a discount when its nominal rate is less than the current market rate of interest.
Which of the following statements relating to bonds is incorrect? * O The owner of a registered bond is the person to whom interest payments are mailed. O A bond's face value is the amount the issuer must pay to the bondholder at maturity. O A bond is a debt instrument giving the issuer fiexibility as to maturity date. A bond will typically sell at a discount when its nominal rate is less than the current market rate of interest.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Which of the following statements relating to bonds is incorrect? *
The owner of a registered bond is the person to whom interest payments are mailed.
A bond's face value is the amount the issuer must pay to the bondholder at maturity.
A bond is a debt instrument giving the issuer flexibility as to maturity date.
A bond will typically sell at a discount when its nominal rate is less than the current market rate of
interest.
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