If money is reserved each year to guarantee that a bond will be paid off at maturity, the money will be held in a ____ fund.

Name: If money is reserved each year to guarantee that a bond will be paid off at maturity, the money will be held in a ____ fund.
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A sinking fund is set up to ensure that there is enough money to pay off a bond issue at maturity. Money is set aside each year into the fund, which earns interest until it is time to pay off the bond.

If Money Is Reserved Each Year to Guarantee That a Bond