A corporation issues bond certificates to
A)owners.
B)principals.
C)creditors.
D)debtors.

Question

Quizplus · Accepted Answer

Bond certificates are issued by corporations to creditors who lend money to the corporation. These creditors are typically institutional investors, individual investors, or other corporations who purchase the bonds as a form of investment. The corporation pays interest to bondholders until the bond matures, at which point the principal is repaid. Bondholders are considered creditors because they have provided debt financing to the corporation.

A Corporation Issues Bond Certificates to