The Leeward Company just issued 15-year,8 percent,unsecured bonds at par.These bonds fit the definition of which one of the following terms?

Question

Quizplus · Accepted Answer

Debentures are unsecured bonds with a maturity period of 10 to 30 years and pay interest at a fixed rate. Since the Leeward Company just issued 15-year, 8 percent, unsecured bonds, they fit the definition of debentures.

The Leeward Company Just Issued 15-Year,8 Percent,unsecured Bonds at Par