Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Issue and Redemption of Debentures

Question:

Debentures and .......... can be used interchangeably.

Options:

Bonds

Shares

Mutual funds

Derivatives

Correct Answer:

Bonds

Explanation:

Traditionally, the Government issued bonds, but these days, bonds are also being issued by semi-government and non-governmental organisations. The terms ‘debentures’ and ‘Bonds’ are now being used inter-changeably.