Dictionary Home »
The American Heritage Dictionary of Business Terms » revenue bond
revenue bond
revenue bond definition - business
revenue bond
A municipal debt on which the payment of interest and principal depends on revenues from the particular asset that the bond issue is used to finance. Examples of such projects are toll roads and bridges, housing developments, and airport expansions. Revenue bonds are generally considered of lower quality than general obligation bonds, but there is a great amount of variance in risk, depending on the particular assets financed. Compare authority bond.
The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.
Comments
Improve this definition.
Browse dictionary definitions near revenue bond
Share on Facebook