Bonds issued by corporations for relatively longer term are classified as
A. long term bonds
B. short term bonds
C. corporate bonds
D. Federal Reserve bonds
Answer: Option C
Solution(By Examveda Team)
Bonds issued by corporations for relatively longer term are classified as corporate bonds. A corporate bond is a debt security issued by a corporation and sold to investors. The backing for the bond is usually the payment ability of the company, which is typically money to be earned from future operations. In some cases, the company's physical assets may be used as collateral for bonds.Related Questions on International Finance and Treasury
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