A ______ Bond Is a Bond Whose Proceeds Are to Be

question 17

Multiple Choice

A ______ bond is a bond whose proceeds are to be used to pay for a project that will not produce any income.

• A)government bond
• B)corporate bond
• C)revenue bond
• D)general obligation bonds

---

Definitions:

Cost Method

An accounting approach used to measure the value of an investment, based on the cost to acquire it, minus any impairments.

Unamortized Acquisitional Fair Value Adjustments

The portion of the adjustments to the fair values of acquired assets and liabilities through an acquisition that has yet to be amortized over their useful life.

Unrealized Profit

Profit that has been generated on paper from investments but not yet realized through a sale or transaction.

Upstream Sales

Transactions involving the sale of goods or services from a subsidiary to a parent company, often seen in vertical integration scenarios.