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When the debenture of face value of ₹ 100 is issued at ₹ 100 is called, issue off debenture at ______. -

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Question

When the debenture of face value of ₹ 100 is issued at ₹ 100 is called, issue off debenture at ______.

Options

  • Par

  • Premium

  • Discount

  • None of the above

MCQ
Fill in the Blanks

Solution

When the debenture of face value of ₹ 100 is issued at ₹ 100 is called, issue off debenture at Par.

Explanation:

When debentures are issued at par, the face value is the same as the face value. Discounted debentures are sold for less than the nominal value, whereas premium debentures are sold for more than the face value.

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Issue of Debentures
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