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प्रश्न
In ordinary annuity, payments or receipts occur at ______
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उत्तर
end of each period
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संबंधित प्रश्न
Find the present value of an annuity immediate of ₹36,000 p.a. for 3 years at 9% p.a. compounded annually. [Given (1.09)−3 = 0.7722]
Find the present value of an ordinary annuity of ₹63,000 p.a. for 4 years at 14% p.a. compounded annually. [Given (1.14)−4 = 0.5921]
A lady plans to save for her daughter’s marriage. She wishes to accumulate a sum of ₹ 4,64,100 at the end of 4 years. What amount should she invest every year if she gets an interest of 10% p.a. compounded annually? [Given (1.1)4 = 1.4641]
Find the rate of interest compounded annually if an annuity immediate at ₹20,000 per year amounts to ₹2,60,000 in 3 years.
An annuity immediate is to be paid for some years at 12% p.a. The present value of the annuity is ₹ 10,000 and the accumulated value is ₹ 20,000. Find the amount of each annuity payment
Choose the correct alternative :
You get payments of ₹8,000 at the beginning of each year for five years at 6%, what is the value of this annuity?
In an ordinary annuity, payments or receipts occur at ______.
Choose the correct alternative :
Rental payment for an apartment is an example of
______ is a series of constant cash flows over a limited period of time.
Fill in the blank :
If payments of an annuity fall due at the beginning of every period, the series is called annuity __________.
Fill in the blank :
If payments of an annuity fall due at the end of every period, the series is called annuity __________.
State whether the following is True or False :
Payment of every annuity is called an installment.
State whether the following is True or False :
The present value of an annuity is the sum of the present value of all installments.
State whether the following is True or False :
Sinking fund is set aside at the beginning of a business.
Solve the following :
Find the present value of an annuity immediate of ₹20,000 per annum for 3 years at 10% p.a. compounded annually. [(1.1)–3 = 0.7513]
Multiple choice questions:
Rental payment for an apartment is an example of ______
Multiple choice questions:
In an ordinary annuity, payments or receipts occur at ______
Multiple choice questions:
The present value of an immediate annuity of ₹ 10,000 paid each quarter for four quarters at 16% p.a. compounded quarterly is ______
State whether the following statement is True or False:
A sinking fund is a fund established by financial organization
State whether the following statement is True or False:
The relation between accumulated value ‘A’ and present value ‘P’ is A = P(1+ i)n
An annuity in which each payment is made at the end of period is called ______
A 35-year old person takes a policy for ₹ 1,00,000 for a period of 20 years. The rate of premium is ₹ 76 and the average rate of bonus is ₹ 7 per thousand p.a. If he dies after paying 10 annual premiums, what amount will his nominee receive?
The future amount, A = ₹ 10,00,000
Period, n = 20, r = 5%, (1.025)20 = 1.675
A = `"C"/"I" [(1 + "i")^"n" - 1]`
I = `5/200` = `square` as interest is calculated semi-annually
A = 10,00,000 = `"C"/"I" [(1 + "i")^"n" - 1]`
10,00,000 = `"C"/0.025 [(1 + 0.025)^square - 1]`
= `"C"/0.025 [1.675 - 1]`
10,00,000 = `("C" xx 0.675)/0.025`
C = ₹ `square`
For an annuity due, C = ₹ 2000, rate = 16% p.a. compounded quarterly for 1 year
∴ Rate of interest per quarter = `square/4` = 4
⇒ r = 4%
⇒ i = `square/100 = 4/100` = 0.04
n = Number of quarters
= 4 × 1
= `square`
⇒ P' = `(C(1 + i))/i [1 - (1 + i)^-n]`
⇒ P' = `(square(1 + square))/0.04 [1 - (square + 0.04)^-square]`
= `(2000(square))/square [1 - (square)^-4]`
= 50,000`(square)`[1 – 0.8548]
= ₹ 7,550.40
