The correct answer is option 4- All of these.
A company can issue debentures through all of these methods: Cash, Consideration other than cash, and as a Collateral Security.
- Cash: A company can issue debentures for cash, where investors pay cash to the company in exchange for the debentures.
- Consideration other than cash: Debentures can be issued as consideration for acquiring assets, which means the company may issue debentures in exchange for non-cash assets or services. For example, if a company acquires another company or asset, it might issue debentures as part of the purchase consideration.
- As a Collateral Security: Debentures can be issued as collateral security against loans or other forms of borrowing. In this case, the debentures serve as security to the lender, ensuring that if the company defaults on the loan, the lender has a claim on the company's assets represented by the debentures.
|
