A type of long-term loan granted to companies with fixed interest as well as wit...
A type of long-term loan granted to companies with fixed interest as well as with redeemable and irredeemable features is referred to as?
The correct answer is A.
The question is asking about a type of long-term loan that is granted to companies and has fixed interest. This loan also has redeemable and irredeemable features. The question wants to know what this type of loan is called.
The options are: A) a debenture, B) a bond, C) a term loan, and D) an overdraft.
The correct answer is A) a debenture. A debenture is a long-term loan that is granted to a company with a fixed interest rate. It also has redeemable and irredeemable features. Redeemable means that the company can repay the loan on a predetermined date, while irredeemable means that the loan cannot be repaid until it matures.
A bond is similar to a debenture, but it is usually issued by governments and has a longer maturity period.
A term loan is a loan that is granted for a specific period of time with a fixed repayment schedule.
An overdraft is a short-term loan that is granted by a bank and is usually used to cover short-term cash flow problems.
In summary, the correct answer to the question is A) a debenture, which is a long-term loan granted to a company with a fixed interest rate and has redeemable and irredeemable features.
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