Face value of bond is $685 and call price of bond is $378 then value of call premium is

A. $307
B. $1,063
C. $2,063
D. $3,063
✅ The correct answer is option A.
Value of call premium = Face value of bond – Call price of bond
= $685 – $378 = $307.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top