Question

The debentures where a charge created on the assets of company. Answer in a word / phrase / term.

Answer 1

Hey mate✌️✌️


The debentures where a charge created on the assets of company⤵️⤵️⤵️


Unsecured Debenture.

Answer 2

The debentures where a charge created on the assets of company are known as secured debentures.

* These are debentures which are associated with collateral security, mostly secured either by mortgage or creation of charge on a company's assets.

* The charges can be either fixed or floating depending on the type of assets.

* These are different from the unsecured debentures which are issued without any collateral security associated with it and hence depend only on the credibility of the person buying it.