If a Debenture Is Subordinated, It

question 30

Multiple Choice

If a debenture is subordinated, it:

• A)has a higher priority status than specified creditors.
• B)is secondary to equity.
• C)must give preference to the specified creditor in the event of default.
• D)has been issued because the company is in default.
• E)None of the above

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Circular 230

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