Question :
The debentures which are secured by either a fixed charge or a floating charge on the assets of the company. A charge on the assets of the company is registered with the Registrar of Companies are called as
Option 1: Secured debentures
Option 2: Unsecured debentures
Option 3: Irredeemable debentures
Option 4: Convertible debentures
Correct Answer: Secured debentures
Solution : Answer = Secured debentures
Debentures secured by a charge on the assets of the company, registered with the Registrar of Companies, are termed as secured debentures. This security ensures that in the event of default, debenture holders have a claim over the specified assets, providing them with greater protection compared to unsecured debentures. Hence, the correct option is 1.
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