Revenue bonds

Name: Revenue bonds
Brand: Quizplus
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Question

Revenue bonds

Quizplus · Accepted Answer

Revenue bonds are issued to fund the capital improvements of an enterprise, such as toll roads or airports, and payment is made strictly from the revenue generated by the enterprise. As such, revenue bonds are considered to carry less risk than general obligation bonds. They are not backed by the full faith and credit of the government, as only the enterprise's revenues are used to service them, unlike general obligation bonds.

Revenue Bonds