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The type of business finances that entitles the holder to a fixed rate of dividend is?

The type of business finances that entitles the holder to a fixed rate of dividend is?
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A Preference stock
  • B Common stock
  • C Debentures
  • D Bank loan
Correct Answer: Option C
Explanation:
A debenture is a long-term debt security issued by a company and secured against assets,
to raise capital for a business. Debenture security yields a fixed rate of interest.

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