Artisan Tools,Inc.,manufactures and sells quality hand tools to commercial and consumer users.Due to an excellent marketing campaign,the business grew quickly.After careful consideration,the board decided that a new factory needed to be built to accommodate current and future business.The factory is a multi-million dollar project.To fund it,the board decided to issue and sell bonds and debentures.What is the difference between a bond and a debenture? Explain why choosing bonds and debentures over a traditional commercial bank loan might be more advantageous in financing the factory construction.

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The Answer of Artisan Tools,Inc.,manufactures and sells quality hand tools to commercial and consumer users.Due to an excellent marketing campaign,the business grew quickly.After careful consideration,the board decided that a new factory needed to be built to accommodate current and future business.The factory is a multi-million dollar project.To fund it,the board decided to issue and sell bonds and debentures.What is the difference between a bond and a debenture? Explain why choosing bonds and debentures over a traditional commercial bank loan might be more advantageous in financing the factory construction.