Which of the following is not correct re

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Target Exam

CUET

Subject

Accountancy Part A

Chapter

Issue and Redemption of Debentures

Question:

Which of the following is not correct related to the terms of debenture?

Options:

Debentures can be issued at discount and redeemed at premium.

Debentures can be issued at premium and redeemed at premium.

Debentures can be issued at par and redeemed at premium.

Debentures can be issued at discount and redeemed at discount.

Correct Answer:

Debentures can be issued at discount and redeemed at discount.

Explanation:

The correct answer is Option (4) →

Debentures can be issued at discount and redeemed at discount.