Which of the Following Statements Concerning Debentures Is Incorrect

question 57

Multiple Choice

Which of the following statements concerning debentures is incorrect?

• A) A trustee, such as a bank or an insurance company, must be appointed to protect the rights of the debenture holders.
• B) An issue of debentures to the public must be accompanied by a prospectus.
• C) The market value of debentures is always the same as their face value.
• D) The division of debenture borrowings into $100 or $50 units allows many small investors to participate in the issue.

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Definitions:

Rotokinetic Bed

A type of medical bed designed to rotate the patient to prevent pressure ulcers and improve respiratory function, often used for critically ill or immobile patients.

Spinal Cord Injury

Damage to any part of the spinal cord or nerves at the end of the spinal canal, potentially leading to permanent changes in strength, sensation, and other body functions below the site of the injury.

Multiple Trauma

The condition of having multiple injuries that may affect the body, often life-threatening, and requiring urgent medical attention.

Air-fluidized Beds

A type of therapeutic bed that uses warm air under pressure to simulate the feeling of floating on liquid, used for patients with vulnerable skin.