Which of the Following Statements Is Incorrect

question 4

Multiple Choice

Which of the following statements is incorrect?
1) prepare a disclosure document before the proposed offer of debentures
2) appoint a trustee whose task is to monitor the borrower so as to safeguard the investors
3) keep a register of debenture holders

• A)There is no specific format for a debenture
• B)The term 'mortgage debenture' can only be used to describe a debenture that is secured by a first mortgage over real estate, where the loan does not represent more than 60% of the value of property under charge
• C)The term 'debenture' can only be used to describe a debenture that is fully secured by charges over company assets
• D)None of the above

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Definitions:

Slander

The act of making false and damaging statements about someone orally.

Defamation

A statement that unjustly harms someone's reputation, typically categorized into libel (written) and slander (spoken).

Loss of Income

The financial income one could have earned but was unable due to an injury, illness, or other interruption.

General Damages

Compensation awarded in a lawsuit for losses that cannot be precisely measured, such as pain and suffering or emotional distress.