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Doctors Medicines MCQs Q&A

  1. discount bond
  2. premium bond
  3. coupon bond
  4. interest bonds
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1 Answers

Answer: Option 1

Type of bond whose present value is lesser than that of its face value is classified as discount bond. A discount bond is a bond that is issued for less than its par or face value. Discount bonds may also be a bond currently trading for less than its face value in the secondary market.

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