The interest on debenture may be ---------------

Related MCQs

• Axis Ltd is issuing 15% debentures ( face value Rs60). The net amount realized per debenture is Rs54 and they are redeemable at par after 6 years. At a corporate tax rate of 40%, what is the cost of debt?
• “ A debenture is a document which either creates a debt or acknowledge it” . who said?
• If there is over capitalization in the company, the redemption of debenture can lead to---------------
• The issue of debenture is done only by the --------------
• Every debenture holders is a ----------------
• Face value per debenture less issue expenses equal to ---------------
• The type of debt whose rate of interest changes according to the changes in the rate of interest payable on gilt edged securities or the prime lending rate of the bank is called
• In MM Model with taxes, where 'r' is the interest rate, ‘D’ is the total debt and 't' is tax rate, then present valued shields would be:
• In lease system, interest is calculated on
• The cost of debt capital if interest rate is 15% and tax rate is 40% is