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A company proposes to sell ten-year debentures of sh 100000 each .The company would repay sh 10000 at the end of every year and will

A company proposes to sell ten-year debentures of sh 100000 each .The company would repay sh 10000 at the end of every year and will pay interest annually at 15 per cent on the outstanding amount .Determine the present value of the debenture issue if the capitalization rate is 16 per.

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