Bonds that are backed only by the reputation of the issuing corporation are known as
A) mortgage bonds.
B) registered bonds.
C) debenture bonds.
D) bond indentures.
E) serial bonds.

Question

Quizplus · Accepted Answer

Debenture bonds are those bonds that are not backed by any collateral or specific asset, but the creditworthiness of the issuing company. These types of bonds rely only on the reputation and reliability of the corporation issuing it.

Bonds That Are Backed Only by the Reputation of the Issuing