A company is issuing 14%, 6 years, 100 debenture at 5% premium. These are redeemable on maturity
Question:
A company is issuing 14%, 6 years, ₹100 debenture at 5% premium. These are redeemable on maturity at 15% premium. If an investor expects a return of 18% on his/her investment then suggest him/her if he/she should buy it from the company or not.
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Here the investor will receive 14 per debenture every year for six years and at the end of sixth y...View the full answer
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