Answer Posted / dr lama
debenture creates ability to obtain goods or services of a
customer before payment, and based on trust that the payment
will be maid in future with a fix interested permonth. and
at the time of transaction, the lender and the borrower sign
a deal paper regarding the payment system and the lender
keep some thing (equivalent to the borrow money, though it
not ture all the time) as an assurance of principle money
that lender'll give to the borrower.
and this particular paper or dealing paper called the
Debenture/unsecured bond/Debenture bond. and it is
transferable. and lender can sale this to another company or
another individual.
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