elenalockwood33
elenalockwood33 elenalockwood33
  • 15-06-2020
  • Advanced Placement (AP)
contestada

Which of the following best explains the purpose of issuing a bond?

A. To manage an economy
B. To stabilize a currency
C. To help consumers purchase services
D. To raise money

Respuesta :

gomezgerman032 gomezgerman032
  • 21-06-2020

Answer: D. To raise money

Explanation:

Hi, issuing a bond is a way for companies to raise money.

A Bond is a loan to a company or government that pays the investor a certain interest over time.

So, when an investor buys a bond, he gives money to the bond's owner (for example a company), who raises money in exchange for the payment of a periodic interest to the investor.

Feel free to ask for more if needed or if you did not understand something.  

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