A debenture is an acknowledgement of debt issued by the company. Debenture holders lend money to the company, receive a fixed rate of interest, and have a prior claim over shareholders at repayment. They are therefore creditors of the company, not owners.
Debenture holders are:
CUET UG 2022 — Accountancy Company Accounts
2022mcqeasy
Debenture holders are:
Official previous-year question
Held on 8 Aug 2022 · Verified 13 Jul 2026.
Options
- A
creditors of the company
- B
customer of the company
- C
owner of the company
- D
none of the above
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