A company has issued Rs. 20 million worth of non-convertible debentures, each at a face value of Rs. 100 at the rate of 12%. Each debenture is redeemable at a premium of 5% after 10 years. If the net amount realized is Rs. 95 and tax rate is 40% the cost per debenture will be

A company has issued Rs. 20 million worth of non-convertible debenture

1.	A company has issued Rs. 20 million worth of non-convertible debentures, each at a face value of Rs. 100 at the rate of 12%. Each debenture is redeemable at a premium of 5% after 10 years. If the net amount realized is Rs. 95 and tax rate is 40% the cost per debenture will be
A.	5.8%
B.	6.6%
C.	7.4%
D.	8.2%
Answer» E.