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Question -

What is meant by ‘Mortgaged Debentures’?



Answer -

Debentures that are secured against the asset/assets of a company are called as Mortgaged debentures. These are also called as secure debentures. There are two types:
1. Fixed Charge: Debentures secured against a specific asset or the firm of the computer
2. Floating Charge: Debentures secured against all assets of a company

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