Corponeeds is an e-commerce company that sells office supplies. in an attempt to raise long-term funds, the company decides to issue bonds to lenders. these bonds do not have fixed interest payments, and the rate of interest changes depending on economic conditions. the bonds issued by corponeeds are examples of

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Business

Briana

11 September, 15:09

Corponeeds is an e-commerce company that sells office supplies. in an attempt to raise long-term funds, the company decides to issue bonds to lenders. these bonds do not have fixed interest payments, and the rate of interest changes depending on economic conditions. the bonds issued by corponeeds are examples of

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Darian Malone · Answer 1

the bonds issued by corponeeds are examples of Municipal bonds

The value of municipal bond is related to the changes in interest rates. When the interest rates rise, the bond price will be decreased and when interest rates fall, the bond price will be increased and in order to be transformed into cash, the owner need to wait until the maturity period end.