Which of the Following Most Accurately Describes a Debenture

question 13

Multiple Choice

Which of the following most accurately describes a debenture?

• A) It is a contract in which a lender provides finance to a firm in return for promises of interest payment and capital repayment at maturity. The debenture can be unsecured.
• B) It is a bond which entitles the owner to receive a share of the firm's assets in a liquidation.
• C) It is a financial asset with a right to receive interest and a share of a firm's profits.
• D) It is a long- term contract in which the debenture holder lends money to a company in return for promises of interest payments and capital repayment at maturity. The debenture is secured by either a fixed or a floating charge against the firm's assets.

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Definitions:

Throw Rugs

Small, movable rugs that can be used for decorative purposes or to cover a specific area of a floor.

Handrail

A rail fixed to walls or frames, providing support or stability for individuals navigating stairs or uneven paths.

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The evaluation of the necessity and safety of using physical or chemical restraints on a person.

Assistive Nursing Personnel

Healthcare workers who provide basic patient care under the supervision of nursing staff, aimed at supporting the daily needs and comfort of patients.