Accountancy Part AIssue and Redemption of Debentures

Perpetual Debentures are also known as :-

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → Irredeemable Debentures

NCERT (2026-27 edition):
Test your Understanding – I

Extract from the NCERT textbook

NCERT (2026-27 edition):
From the Point of view of Tenure – “… Irredeemable Debentures: Irredeemable debentures are also known as Perpetual Debentures because the company does not give any undertaking for the repayment of money borrowed by issuing such debentures. These debentures are repayable on the winding-up of a company or on the expiry of a long period.”