which statement best describes how an investor makes money off debt? an investor makes money by issuing…
which statement best describes how an investor makes money off debt? an investor makes money by issuing bonds. an investor makes money by earning interest. an investor makes money by raising capital. an investor makes money by being repaid for the principal.
Answer
Brief Explanations:
Issuing bonds is done by entities like governments or corporations to raise capital, not by investors to make money. Raising capital is a goal of companies or other entities, not how investors make money off debt. While principal repayment is part of getting back the initial investment, it doesn't represent making money off debt. Investors make money off debt - such as when they buy bonds - by earning interest.
Answer:
An investor makes money by earning interest.