O-LevelAccountingPreparation of financial statements7707/11 · May/June 2022 · Q251 Mark
A limited company raised funds from an issue of debentures. Which statement is correct?
AThe debentures are part of the equity of the company.
BThe debenture holders cannot vote at the annual general meeting.
CThe debenture holders are repaid only if the company is wound up.
DThe debenture interest is paid only if the company earns a profit.
✓ Correct answer
B: The debenture holders cannot vote at the annual general meeting.
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