"In-substance defeasance" is a term used to refer to an arrangement whereby

"In-substance defeasance" is a term used to refer to an arrangement whereby

a. a company gets another company to cover its payments due on long-term debt.
b. a governmental unit issues debt instruments to corporations.
c. a company provides for the future repayment of a long-term debt by placing purchased securities in an irrevocable trust.
d. a company legally extinguishes debt before its due date.


Answer: a company provides for the future repayment of a long-term debt by placing purchased securities in an irrevocable trust