Which of the following types of bonds is unsecured?
A) Mortgage bonds
B) Equipment trust certificates
C) Debentures
D) Agency bonds
E) Treasury bonds

Question

Quizplus · Accepted Answer

Debentures are unsecured bonds, meaning they are not backed by collateral or specific assets of the issuer like mortgage bonds or equipment trust certificates. Instead, debentures rely solely on the creditworthiness and reputation of the issuer. Agency bonds and treasury bonds are also unsecured, but they are backed by the full faith and credit of the U.S. government.

Which of the Following Types of Bonds Is Unsecured