Match the following. LIST 1 LIST 2 (A) Debentures that do not have sp…

Match the following.

LIST 1	LIST 2
(A) Debentures that do not have specific charge on assets of the company	(I) Irredeemable Debentures
(B) Perpetual Debentures	(II) Non-convertible Debentures
(C) Debentures transferred by way of Delivery	(III) Unsecured Debentures
(D) Debentures that cannot be converted into equity shares	(IV) Bearer Debentures

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 3

The correct answer is Option (3) → (A)-(III), (B)-(I), (C)-(IV), (D)-(II)

Debentures are classified by security, tenure, mode of transfer and convertibility.

(A) Debentures that do not have specific charge on assets of the company — this matches (III) Unsecured Debentures. No asset is pledged for them.
(B) Perpetual Debentures — this matches (I) Irredeemable Debentures. The company gives no undertaking to repay them during its life.
(C) Debentures transferred by way of Delivery — this matches (IV) Bearer Debentures. The company keeps no register of holders.
(D) Debentures that cannot be converted into equity shares — this matches (II) Non-convertible Debentures.

NCERT (2026-27 edition):
Unsecured Debentures – “Unsecured debentures do not have a specific charge on the assets of the company.”

NCERT (2026-27 edition):
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.”

NCERT (2026-27 edition):
Bearer Debentures – “Bearer debentures are the debentures which can be transferred by way of delivery and the company does not keep any record of the debentures Interest on debentures is paid to a person who produces the interest coupon attached to such debentures.”

NCERT (2026-27 edition):
Non-Convertible Debentures – “The debentures which cannot be converted into shares or in any other securities are called non-convertible debentures.”