Question

Debenture holders of a company are the company's ____ .

• A. creditors
• B. customers
• C. owners
• D. strangers

Hint:

Debenture holders are not owners of the company, but creditors who lend money to the company for a fixed rate of return.

Answer 1

The Correct Option is A

Debenture holders are creditors of a company. A debenture is a form of debt that a company issues to raise capital, and the holders of debentures are entitled to receive interest on their investment.