Number of years Annual interest Maturity value

1 240,000 -
2 240,000 -
3 240,000 -
4 240,000 -
5 240,000 -
6 240,000 -
7 240,000 3,000,000
Present value

PV=I/(1+K)+I/(1+K)^2+I/(1+K)^3+I/(1+K)^4+I/(1+K)^5+I/(1+K)^6+I/(1+K)^7
Where
PV = Present Value or Price of the Bond/Debenture 2,575,902
I = Annual Interest/Coupon 240,000
M = Future value 3,000,000
n = Number of years (Maturity) 7
k= Discounting Factor/Rate 11%
Discounting rate Discounting factor Present value
11% 1.11 216,216
11% 1.23 194,789
11% 1.37 175,486
11% 1.52 158,095
11% 1.69 142,428
11% 1.87 128,314
11% 2.08 1,560,573
2,575,902