Question : Which of the following statements is true?

Option 1: The debenture is a borrowing of the company.

Option 2: Debenture is normally secured by way of charge on the assets of the company.

Option 3: Interest on Debentures is a charge against profit.

Option 4: All of the above 

Question : Which of the following statements is true?

Option 1: The debenture is a borrowing of the company.

Option 2: Debenture is normally secured by way of charge on the assets of the company.

Option 3: Interest on Debentures is a charge against profit.

Option 4: All of the above 

Question : Which of the following statements is false?

Option 1: Debenture is debt of the company. Therefore, a debenture holder is a lender.

Option 2: Debenture holder gets interest at the stated rate whether the company earns profit or not.

Option 3: Debentures cannot be issued at discount.

Option 4: Debentures can be converted into shares.

Question :

 Which of the following statements is true?

Option 1: Any other instrument will include any kind of security (document) evidencing a debt that a company may issue.

Option 2: For example, Public Deposit, it being an instrument of the company, is also termed as debenture. 

Option 3: The term 'Any Other Instrument' is a wide term that includes every instrument issued by the company that evidences debt.

Option 4: All of the above

Question : Secured debenture is known as 

Option 1: Mortagage debenture

Option 2: Naked debenture

Option 3: Unsecured debenture

Option 4: None of the above