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P2 C2 ACCOUNTING FOR DEBENTURES — Elements of Account STD 12 Commerce — Question

Gujarat BoardEnglish MediumSTD 12 CommerceElements of AccountP2 C2 ACCOUNTING FOR DEBENTURES1 Mark
Question
Why debenture holders do not have noting right?
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Answer

Debenture holders are not the co-owner of the company, as amount received from the debenture holder is considered as loan to the company.

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