— Kishore V, SME and ACW at Edumarz
- The payment of the number of debentures by the company is referred to as debenture redemption.
- Liability on account of debentures is discharged when debentures are recovered.
- To put it another way, the quantity of money required to redeem debentures is substantial, therefore economic businesses set aside sufficient profits and accumulate capital to reclaim debentures.