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Difference between Shares and Debentures

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Question

Write one word/term/phrase which can substitute each of the following

The debentures which are transferred by way of delivery.

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Solution

Bearer debentures

Explanation: Debentures that are transferable by mere delivery are known as bearer debentures. The names and addresses of the holders of such debentures are not registered with the company. Interest on these debentures is paid only to those holders who produce interest coupons attached with such debentures.

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