Which of the following statement is incorrect with respect to debentures?

Class 12th Accountancy, Question paper 2023: Which of the following statement is incorrect with respect to debentures?  

Question: Which of the following statement is incorrect with respect to debentures?
(A) Debentures can be issued for cash.
(B) Debenture cannot be issued at discount.
(C) Debentures can be issued as collateral security,
(D) Debentures can be issued at premium.

 

The correct answer  is: (B) Debenture cannot be issued at discount.