Wor Ltd issued 100 $100 000 par amount debentures on 1 January 20X3.The annual interest rate is 10% and the premium on issue was $5000 per debenture.The interest is paid in arrears on 31 December of each year.The debentures mature on 31 December 20X7.Wor Ltd has a financial year end of 30 June.
-How much cash will be received by Wor Ltd in relation to this debenture issue?
A) $10 500 000
B) $10 000 000
C) $500 000
D) $100 000
Correct Answer:
Verified
Q13: Which of the following statements is incorrect?
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