Industrial revenue bonds are a relatively inexpensive source of funds for small manufacturers.

Question

Quizplus · Accepted Answer

Industrial revenue bonds are issued by state or local governments to provide financing for certain projects, such as the construction or expansion of manufacturing facilities. The interest paid on these bonds is exempt from federal income tax, making them an attractive and cost-effective option for small manufacturers seeking funding.

Industrial Revenue Bonds Are a Relatively Inexpensive Source of Funds