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If debentures purchased in the open market are not immediately cancelled, they are treated as: -

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Question

If debentures purchased in the open market are not immediately cancelled, they are treated as:

Options

  • Current Assets

  • Current Liabilities

  • Investment

  • Capital

MCQ

Solution

Investment

Explanation:

Debentures purchased on the open market are recognised as investments if they are not immediately cancelled.

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Redemption of Debentures
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