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The purpose of issuing bonds is primarily to raise capital for various needs, such as funding infrastructure projects, financing operations, or refinancing existing debt. By selling bonds, an organization borrows money from investors, who in return receive periodic interest payments and the return of principal at maturity. This allows entities to access large sums of money upfront while spreading the repayment over time. Additionally, bonds can help diversify funding sources and manage financial risk.
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What best explains what happens when company or government issues bonds?
the company or government goes into debt to those who purchase the bonds
What Best explains how bondholders and banks serve a function?
They are both holders of someone else's debt.
What is always true about investment bonds?
Individual bonds and bond funds are two very different animals (see Comparing Bonds and Bond Funds) Understanding how bond funds and individual bonds differ will help you assess which is the best investment option for you
What best explains how bondholders and banks serve a similar function?
They are both holders of someone else's debt.
Direct financing is best exemplified by?
Direct financing is best exemplified by transactions where borrowers obtain funds directly from lenders without intermediaries, such as banks or financial institutions. This can occur through mechanisms like issuing bonds, where companies or governments sell debt securities directly to investors, or through peer-to-peer lending platforms that connect individual borrowers with lenders. In these cases, the relationship is direct, facilitating a more streamlined process for both parties.
Which best explains the purpose of issuing a bond?
Not to manage an economy, to help stabilize a currency, or to help consumers purchase services, but to raise money.
What best explains what happens when a company or government issues bonds?
The company or government goes into debt to those who purchase the bonds.
What best explains what happens when company or government issues bonds?
the company or government goes into debt to those who purchase the bonds
What best explains why the money is increased when Fed buys treasury bonds?
There is no following provided?
What explains best the purpose of strikebreaker?
To prevent an industrial action from affecting production
Best explains the purpose of protectionist trade policies such as tariffs and subsidies?
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What best explains the purpose of building codes?
to ensure the construction of safe buildings
Which best explains the purpose of an ad's headline?
it should affect the viewer emotionally
What of the best following best explains why treasury bonds have an effect on the size of the money supply?
The Federal Reserve Bank can buy and sell these bonds to raise or lower bank deposits. APEX
What is the best statement best explains the purpose of advertising?
advertising is about buying the attention of an audience of potential consumers
What best explains why treasury bonds have an effect on the size of the money supply?
The Federal Reserve Bank can buy and sell these bonds to raise or lower bank deposits.
Which best explains the purpose of a demand schedule?
To show the level of demand at various prices.
