Because of the interest that must be repaid,a bond typically can cost about twice the face amount that is borrowed.Thus,a $5 billion bond may actually cost taxpayers almost twice that amount by the time it is paid off.

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The statement is true. A bond typically costs more than the face amount borrowed due to interest that must be repaid. The actual cost to taxpayers could be almost twice the face amount by the time the bond is fully paid off.

Because of the Interest That Must Be Repaid,a Bond Typically