When Collins inc. uses the proceeds from issuing bonds to purchase equipment needed to start a new product line, this is an example of investment. if daisy buys some of the collins inc. bonds, her purchase is an example of saving.
Companies use the proceeds from bond income for a extensive sort of purposes, including shopping for new equipment, making an investment in studies and development, shopping for again their personal stock, paying shareholder dividends, refinancing debt, and financing mergers and acquisitions. Bond Proceeds means the proceeds from the sale of bonds, notes, and different duties issued via way of means of an entity, and reserves and finances maintained via way of means of an entity for debt carrier purposes.
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