Question

The face value of a note refers to the amount borrowed plus interest received at maturity from the maker. that can be received if sold to a factor. at which the note receivable is recorded. remaining after a service charge has been deducted.

Answer 1

The correct answer would be the first selection: face value, or par value, simply refers to the amount of the note that will be received at the maturity date plus the interest owed. The face value of the note is not realized, however, until the full maturity period has elapsed: a penalty applies if the note is redeemed at an earlier date.