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A bond with a par value of $1,000 that is backed by the taxing power of a local government is known as:
Correct Answer: D
Step by Step Explanation: * General Obligation (GO) Bonds: Backed by the full faith and credit of the issuing municipality, relying on its taxing power for repayment. * Revenue Bonds: Supported by revenues from a specific project or source. * Treasury Bonds: Issued by the federal government. * Corporate Bonds: Issued by corporations, not municipalities. References: * SEC Municipal Bond Guide: SEC GO Bonds.