A bond that has a claim on assets only after the senior debt has been paid off in the event of liquidation is called what?

Name: A bond that has a claim on assets only after the senior debt has been paid off in the event of liquidation is called what?
Brand: Quizplus
Rating: 4.9 (55 reviews)

Question

Quizplus · Accepted Answer

A subordinated debenture is a type of bond that ranks below senior debt in the case of liquidation. This means that in the event of bankruptcy or default, holders of senior debt will be paid before holders of subordinated debt.

A Bond That Has a Claim on Assets Only After