152,054 views
35 votes
35 votes
What is a bond? in your own words. economics.​

User Turismo
by
2.5k points

2 Answers

25 votes
25 votes

Answer:

A bond is a fixed income Instrument that represents a loan made by investors to a borrower ( typically corporate or governmental).

User Hezekiah
by
3.0k points
25 votes
25 votes

Answer:

A bond is simply a loan taken out by a company. Instead of going to a bank, the company gets the money from investors who buy its bonds. In exchange for the capital, the company pays an interest coupon, which is the annual interest rate paid on a bond expressed as a percentage of the face value.

Step-by-step explanation: