Disadvantages of Debentures?
Answer
The disadvantages of debentures are cost of raising capital through debentures is high, high stamps duty, common people cannot buy debentures as they are of high denominations and they are not meant for companies earning greater than the rate of interest which they are paying on the debentures.
Q&A Related to "Disadvantages of Debentures?"
|
What is the advantages and disadvantages of debentures?
http://wiki.answers.com/Q/What_is_the_advantages_a...
|
|
Unsecured debt backed only by the integrity of the borrower, not by collateral, and documented by an agreement called an indenture. One example is an unsecured bond. Disadvantage:
http://answers.yahoo.com/question/index?qid=200909...
|
|
The debenture is basically the note in which the buyer signs saying that he owes the lender "x" amount of dollars and will pay it back with the agreed terms. Then the lender
http://www.trulia.com/voices/Financing/What_is_the...
|
|
Of the supreme court Anonymous
http://www.blurtit.com/q8332997.html
|
Similar Questions
People Also Asked
Wikipedia on Ask.com
A debenture is a document that either creates a debt or acknowledges it, and it is a debt without collateral. In corporate finance, the term is used for a medium- to long-term debt financial instrument...
Top Related Searches
Explore this Topic
Advantages of a Public Limited Company are; the shareholders have limited liability, a company can raise additional capital by issuing more shares or debentures, ...