BUSINESS ADMINISTRATION
BANKING AND INSURANCE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Detailed explanation-1: -The price compared to the face value differs. Paper EE bonds were sold for half their face value. You paid $50 for a $100 paper EE bond. We sell electronic EE bonds for their face value.
Detailed explanation-2: -Transferring Securities. Are EE and I Bonds transferable? Yes. The owner can transfer EE and I Bonds to another person with a TreasuryDirect account; however, you must wait five business days after the purchase date to transfer the bonds.
Detailed explanation-3: -Face value refers to the dollar value of a financial instrument when it is issued. The face value of a bond is the price that the issuer pays at the time of maturity, also referred to as “par value.” By comparison, the face value of a stock is the price set by the issuer when the stock is first issued.
Detailed explanation-4: -Treasury bonds and bills are issued by the United States Treasury. Saving bonds are sold for less than their face value because they are no longer as popular an investment as they once were.