For municipal bonds, initial market is through

A. local placement

B. public offering

C. government placement

D. index placement

Answer: Option B

Solution(By Examveda Team)

For municipal bonds, initial market is through public offering. The public offering price (POP) is the price at which new issues of stock are offered to the public by an underwriter. Because the goal of an initial public offering (IPO) is to raise money, underwriters must determine a public offering price that will be attractive to investors.