Question

Alpine County is planning to issue thirty-year bonds for a new capital project. The bonds will be backed by the full taxing authority of the county, and by its "full faith and credit" These bonds are therefore revenue bonds.

1. True
2. False

Answer 1

The answer is 2. False

Step-by-step explanation:

The bonds are 'General Obligation bonds'

A general obligation bond is a type of municipal bond that is backed by a state or local government's pledge to use its tax revenues to repay bondholders for both the principal and interest payments.

General obligation bonds are less risky and are also tax exempt.