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Question
The rate of interest payable on debentures is ______.
Options
uncertain
floating
fixed
Solution
The rate of interest payable on debentures is fixed.
Explanation:
The interest rate paid on a loan is fixed because the terms and conditions of the loan are fixed.
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RELATED QUESTIONS
Attempt the following:
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Conciseness
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Borrowed capital of a company.
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Draft a letter to debentureholder informing him about redemption of debentures.