From the point of view of Tenure, debentures can be of following types: (A) Reedemable Debentures (B) Non-Convertible Debentures (C) Perpetual Debentures (D) Registered Debentures Choose the correct answer from the options given below: |
(A) and (C) only (A), (C) and (B) only (A), (B), (C) and (D) (A), (C) and (D) only |
(A) and (C) only |
The correct answer is option 1- (A) and (C) only. There are 2 types of debentures are from the point of view of the tenure of debentures. From the Point of view of Tenure: (b) 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. |