As a general rule, a company's debentures have higher required interest rates than its mortgage bonds because mortgage bonds are backed by specific assets while debentures are unsecured.

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This statement is true. Mortgage bonds are backed by specific assets such as real estate, while debentures are unsecured and therefore carry a higher default risk. As a result, companies will typically offer investors a higher interest rate on debentures to compensate for the increased risk.

As a General Rule, a Company's Debentures Have Higher Required