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Select Most Appropriate Alternative from Those Given Below : - Book Keeping and Accountancy

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Question

Select most appropriate alternative from those given below :
__________ debentures which are not secured against any charge on asset of the company.

Options

  • Secured

  • Unsecured

  • Redeemable

  • Convertible

MCQ
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Solution

Unsecured debentures which are not secured against any charge on asset of the company.

Explanation: The debentures that are not secured by any security or do not have a charge on the assets of a company are known as unsecured or naked debentures.

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Chapter 11: Company Accounts Part - 2 (Accounting for Debentures) - Exercise 3 [Page 373]

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Micheal Vaz Book Keeping and Accountancy [English] 12 Standard HSC Maharashtra State Board
Chapter 11 Company Accounts Part - 2 (Accounting for Debentures)
Exercise 3 | Q 8 | Page 373

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