Type of bond for which bonds present value is greater than bonds face value is classified as

Type of bond for which bonds present value is greater than bonds face value is classified as Correct Answer premium bond

Type of bond for which bonds present value is greater than bonds face value is classified as premium bond. A premium bond is a bond trading above its face value or in other words; it costs more than the face amount on the bond. A bond might trade at a premium because its interest rate is higher than current rates in the market.
Bissoy MCQ

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