Q.

Debenture holders of a company are its -

A. Shareholders
B. Creditors
C. Debtors
D. Directors
Answer» B. Creditors
Explanation: Companies issue debentures instead of shares to extend their business. These debentures are issue to borrow loan from general public; interest is paid on the borrowed money to the debenture holders. So a debenture holder is essentially a creditor who simply gives loan to the company.
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Economics (GK)

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