The bonds that are not pledged against revenue stream or specific assets are classified as __________?
Correct answer: B. general obligation bonds
- A. general obligation notes
- B. general obligation bonds
- C. general obligation tax
- D. general obligation savingsAccounting & Auditing
Explanation
General obligation bonds are backed by the issuer’s taxing power rather than by a particular asset or revenue stream. Revenue bonds, in contrast, are secured by specified project revenues.
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