An entity issued 1 500 debentures with face value of R20 000 each. The coupon rate on the debentures is 12% paid annually in arrears. In order to speed the sale of the debentures, the directors decided to issue them at 10% discount.

How much cash will the entity receive if all the debentures are fully subscribed and paid for?

Select one:

a. R20 000 000

b. R27 000 000

c. R30 000 000

d. R15 000 000