If Research in Motion, Inc. sells a bond it is
A)borrowing directly from the public.
B)borrowing indirectly from the public.
C)lending directly to the public.
D)lending indirectly to the public.

Question

Quizplus · Accepted Answer

When a company sells a bond, it is borrowing money directly from the public, as bond buyers are essentially lending money to the company in exchange for periodic interest payments and the return of the bond's face value at maturity.