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31 October, 10:53

What is generally the reason for a company to issue bonds?

A) It promotes good will with the public.

B) It serves as a means to raise revenue.

C) It raises the value of their stock for the stockholders.

D) It prevents them from having to reveal their financial statements

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  1. 31 October, 14:40
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    The answer to the question is B - It serves as a mean to raise revenue.

    A bond basically works as a loan from an investor to a corporation. An investor agrees to loan the specified amount to a corporation. In return the corporation repays the investor back over a set amount of time and pays a specified interest rate.
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