A revenue bond is issued for either project or enterprise financings where the bond issuer pledges the revenues generated by the project that is financed to the bondholders.

Question

Quizplus · Accepted Answer

A revenue bond is indeed issued for project or enterprise financings, and the revenue generated by the project is pledged to the bondholders as collateral. This type of bond is different from a general obligation bond, which is backed by the issuer's full faith and credit.

A Revenue Bond Is Issued for Either Project or Enterprise