Debenture Bonds Represent Bonds That Are Not Secured by Collateral

question 79

True/False

Debenture bonds represent bonds that are not secured by collateral.

---

Definitions:

Market Value

The current value of an asset or company based on the price at which it can be sold in the marketplace.

Common Stock

A type of equity security that represents ownership in a corporation, giving shareholders voting rights and a claim on profits.

Stock Dividend

A payment made in the form of additional shares rather than cash, reflecting a company's dedication to reinvesting in its growth.

Par Value

A nominal value assigned to a security, such as a share of stock, representing its legal capital per share.