1699. An unsecured bond that provides no lien against property as security for bond obligation is classified as

secured bond
debenture
obligation bond
specific bond
✅ The correct answer is B.
An unsecured bond that provides no lien against property as security for bond obligation is classified as debenture. A debenture is a type of debt instrument that is not secured by collateral and usually has a term greater than 10 years. Debentures are backed only by the creditworthiness and reputation of the issuer. Both corporations and governments frequently issue debentures to raise capital or funds.

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