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a. A debenture holder is an owner of the company.
b. A debenture holder can get his money back only on the liquidation of the company.
c. A debenture issued at a discount can be redeemed at a premium.
d. A debenture holder receives interest only in the event of profit.
A: Only (a)
B: Only (b)
C: Only (c)
D: Only (d)
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Explanation:
- A debenture holder is a lender to a company, not an owner.
- A debenture holder will get his money after a specified date mentioned in the debenture certificate.
- A debenture can be issued at discount and can be redeemed at a premium.
- A debenture holder will get interest whether there is profit or loss because it is charge against profit.
Final Answer: Hence, the correct answer is option C Only (c).
ectively.
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