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Section C (4 Mark)Read the senario and answer to the question.

Section C (4 Mark)

Read the senario and answer to the question.

If Saxena’s debentures have a balance maturity period of 15 years &the coupons are payable annually, what should be the market valuation of these debentures, if risk free interest rate is taken as the required IRR?

A.

Rs. 10,00,000

B.

Rs. 16,38,807

C.

Rs. 17,76,980

D.

Rs. 7,76,980

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