Nominaalväärtusi

Nominaalväärtusi refers to the face value or stated value of a financial instrument or item. It represents the amount printed on a bond, stock certificate, or currency, and it is the amount that will be repaid or exchanged upon maturity or during a transaction. For bonds, the nominal value is the principal amount that the issuer agrees to repay to the bondholder at maturity. For stocks, it might be a par value assigned to each share, though this has less significance in modern stock markets than it once did. For currency, the nominal value is the denomination printed on the banknote or coin, such as one euro or ten dollars. This value is distinct from the market value, which is determined by supply and demand and can fluctuate. For example, a bond might have a nominal value of $1,000, but its market price could be higher or lower depending on interest rates, the issuer's creditworthiness, and other economic factors. Similarly, while a stock may have a nominal par value, its actual trading price on an exchange is what determines its market value. The nominal value serves as a reference point for calculations of interest payments (coupons) on bonds and for initial accounting entries.