Leah, a longtime stock market investor, is thinking about investing in a new bond. This bond has a date of maturity in 30 years. What happens on the date of maturity?
a. Leah earns back the initial cost of the bond
b. The bond doubles in value.
c. Leah earns back the initial cost of the bond plus any annual interest
d. Leah earns back a percentage of the bond’s annual interest.
1 answer
a. Leah earns back the initial cost of the bond
1 answer