On 1st April, 2022, Mega Ltd. issued 30,000, 10% Debentures of ₹100 each at a discount of 10%. The total amount of interest due on debentures for the year ending 31st March, 2023 will be:}
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Debenture interest is calculated on the face value, not on the issue price.
Step 1: Determine the aggregate debenture value. With 30,000 debentures issued at ₹100 each, the total face value amounts to ₹30,00,000.
\[
\text{Total face value} = 30,000 \times ₹100 = ₹30,00,000.
\]
Step 2: Compute the yearly interest. At a 10% interest rate, the annual total interest is ₹3,00,000.
\[
\text{Total interest} = 10% \times ₹30,00,000 = ₹3,00,000.
\]