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Debentures are credit instruments. Companies have to pay fixed interest to the debentures holders even though the company is running on loss. An the time of liquidation also the company have to repay the amount to debenture holders before paying it to share holders.
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∙ 11y ago
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What are the disadvantages of debentures?
Debentures hold greater risk because the company could eventually go out of the business. so this type of investment should be done very carefully.
How is interest paid on debentures is shown in Financial statments?
interest paid for debentures is a/an
Which Indian companies have recently issued debentures?
recently which industry/company had issued its debentures
What is a debenture?
Debentures function more or less like bonds. One can also term debentures as a variant of bonds. Debentures are issued by a company which offers to pay interest in lieu of the money borrowed for a pre-specified period. In essence, it represents a loan taken by the issuer who pays an agreed rate of interest throughout the life of the instrument and repays the principal normally, unless otherwise agreed, on maturity. Bonds on the other hand are more secured than debenture. As a debenture holder, you provide unsecured loan (most of the times debentures are unsecured in nature) to the company. Debentures carry a higher rate of interest as the company does not offer any collateral to you for your money. For this reason bond holders receive a lower rate of interest but are more secure in nature.
What is debenture explain in simple term?
Debentures refers to discharging the liability on account of debentures in accordance with the terms of issue.
Is debentures of weirds limited secure?
weird not a frod company and nbsc company.fully industrial company.
What are the advantages of selling debentures?
þ Debentures can be used to raise very long-term finance, (ex. 25 years.)
What are the disadvantages of debentures?
Debentures hold greater risk because the company could eventually go out of the business. so this type of investment should be done very carefully.
What are the risk relating to the debentures?
What are the risk relating to th debentures?
How do you make debentures more popular.?
the companies that have issued debentures in recent years.give suggestions to make debentures more popular?
How is interest paid on debentures is shown in Financial statments?
interest paid for debentures is a/an
How secure is Canada?
Very Secure.
Discount on issue of debentures is a?
capital loss to be written off over the tenure of the debentures .
Which Indian companies have recently issued debentures?
recently which industry/company had issued its debentures
Which Indian companies recently issued debentures?
recently which industry/company had issued its debentures
What is redeemable non convertible secured debentures?
history of secured redeemable non convertible debentures
Which is more secure Windows or Linux?
Linux is considered to be more secure than Windows.
