Question

Select most appropriate alternative from those given below :

The issue of debenture at its face value is called the issue ___________.
a) at par
b) at discount
c) at premium
d) none of these

Answer 1

The issue of debenture at its face value is called the issue at par.

Explanation: When debentures are issued at their face value, it is known as ‘issue at par’. In this case, issue price is equal to face value.