Question

A Debenture Certificate is issued as an acknowledgment of debt with or without a charge on company's assets.

• A. True
• B. False

Answer 1

The correct option is A True

Debenture certificate- it is a “certificate or document” which is issued by the company under its common seal as a proof or an acknowledgement of its debt to the person to whom debentures are issued. Therefore, holder of this certificate is called as debenture holder who is also a creditor of the company.