If a firm sells bonds on the capital market, the amount the firm must pay for the use of those funds is counted in aggregate accounting as:

Question

Quizplus · Accepted Answer

When a firm sells bonds on the capital market, the cost of using those funds is considered interest. This is because the firm is borrowing money from bondholders and must pay them interest in return for the use of their funds.

If a Firm Sells Bonds on the Capital Market, the Amount