Which of the following accurately describes a debenture?

Which of the following accurately describes a debenture?  A bond with specific assets pledged as collateral.  A type of bond issued in the names and addresses of the bondholders.  A type of bond which requires the bond issuer to create o sinking fund of assets set aside or specified amounts and dates to repay the bonds.  A type of bond which is not collateralized but backed only by the issuers general credit standing.  A type of bond that can be exchanged for a fixed number of shares of the issuing corporations common stock. Which of the following accurately describes a debenture? A bond with specific assets pledged as collateral. A type of bond issued in the names and addresses of the bondholders. A type of bond which requires the bond issuer to create o sinking fund of assets set aside or specified amounts and dates to repay the bonds. A type of bond which is not collateralized but backed only by the issuer’s general credit standing. A type of bond that can be exchanged for a fixed number of shares of the issuing corporation’s common stock.

Answer :  A type of bond which is not collateralized
but backed only by the issuer’s general credit standing.
Debenture is a debt instrument that is not secured by physical
assets or collateral. Debentures are backed only by the general
creditworthiness and reputation of the issuer.
Debentures have no collateral. Bond buyers purchase debentures
based on the belief that the bond issuer is default on the
repayment.

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