Call premium of bond is subtracted from call price of bond...

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Call premium of bond is subtracted from call price of bond to calculate

A. face value of bond

B. face value of stock

C. book value of stock

D. book value of bond

Answer: Option A

Solution (By Examveda Team)

Call premium of bond is subtracted from call price of bond to calculate face value of bond. The face value or face amount of a bond payable is the amount printed on the bond.

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