Debentures MCQ Questions With Answers Test - McqProf
Here are some Debenture MCQ best multiple choice questions to test your knowledge Free Online study interview before exams!
Here are some debenture multiple choice questions to test your knowledge:
What is a debenture?
a) A type of bond that is secured by collateral
b) A type of bond that is not secured by collateral
c) A type of loan that is secured by collateral
d) A type of loan that is not secured by collateral
What is the primary difference between a debenture and a bond?
a) Debentures are secured by collateral, while bonds are not
b) Debentures have a fixed interest rate, while bonds have a variable interest rate
c) Debentures are issued by governments, while bonds are issued by corporations
d) Debentures have a shorter term length, while bonds have a longer term length
What is the primary benefit of investing in debentures?
a) The potential for high returns
b) The security of the collateral
c) The tax benefits
d) The ability to sell the debenture before maturity
What is the primary risk of investing in debentures?
a) The risk of default on the part of the issuer
b) The risk of interest rate fluctuations
c) The risk of market volatility
d) The risk of inflation
Which of the following is NOT a type of debenture?
a) Convertible debenture
b) Bearer debenture
c) Registered debenture
d) Stock
I hope these questions help you test your knowledge on debentures! If you have any more questions, feel free to ask.
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