Question: What statement CORRECTLY describes a key difference between bonds and debentures? The answer choices are: Regular secured bonds offer a higher level of income than
What statement CORRECTLY describes a key difference between bonds and debentures? The answer choices are: Regular secured bonds offer a higher level of income than debentures. Bonds are secured by the specific assets of a company, whereas debentures are not secured by real assets or collateral. Debentures have higher priority than bondholders for the company's assets in the event that the company goes bankrupt. Debentures are considered high risk because they are not backed by the reputation or creditworthiness of the issuer
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