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Magenta Oil and Gas Exploration Inc

Question 39

Multiple Choice

Magenta Oil and Gas Exploration Inc. is issuing a $25 million, 10% bonds to partially finance a refining facility. There are no assets pledged against it for security. This type of financing is called a/an


A) Debenture
B) Limited bond
C) Unlimited liability
D) Unsecured mortgage
E) Open ended loan

Correct Answer:

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