Debentures are _ charge funds and do not participate in __ of the company.

fixed, loss

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fixed, profit

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fluctuating, loss

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fluctuating, profit

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Solution

The correct option is B fixed, profit
Debentures are fixed charge funds i.e they are to be returned on a fixed interest and not as per the profits earned by the company. Hence they do not participate in the profit share of the company.

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Debentures are _______ charge funds and do not participate in ________ of the company.

The correct option is B fixed, profitDebentures are fixed charge funds i.e they are to be returned on a fixed interest and not as per the profits earned by the company. Hence they do not participate in the profit share of the company.

Debentures are _ charge funds and do not participate in __ of the company.

The correct option is B fixed, profit
Debentures are fixed charge funds i.e they are to be returned on a fixed interest and not as per the profits earned by the company. Hence they do not participate in the profit share of the company.