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What is the present value of an annuity due of ₹ 1,500 for 16 years at 8% per annum? What is the present value of an annuity due of ₹ 1,500 for 16 years at 8% per annum? [(1.08)16 = 3.172]

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प्रश्न

What is the present value of an annuity due of ₹ 1,500 for 16 years at 8% per annum? What is the present value of an annuity due of ₹ 1,500 for 16 years at 8% per annum? [(1.08)16 = 3.172]

बेरीज
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उत्तर

Present value of annuity due, P = `(a (1 + i))/i [1 - 1/(1 + i)^n]`

Here a = 1500, n = 16, i = `8/100` = 0.08

P = `(1500 (1 + 0.08))/(8/100) [1 - 1/(1.08)^16]`

= `(1500 xx 100 xx (1.08))/8 [1 - 1/3.172]`      ...[∵ (1.08)16 = 3.172]

= `162000/8 [1 - 1/3.172]`

= `20250 [1 - 0.31524]`

= 20250 [0.68476]

= 13866.39

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पाठ 7: Financial Mathematics - Exercise 7.1 [पृष्ठ १६७]

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सामाचीर कलवी Business Mathematics and Statistics [English] Class 11 TN Board
पाठ 7 Financial Mathematics
Exercise 7.1 | Q 9 | पृष्ठ १६७

संबंधित प्रश्‍न

Find the amount of an ordinary annuity of ₹ 3,200 per annum for 12 years at the rate of interest of 10% per year. [(1.1)12 = 3.1384]


Find the amount of an ordinary annuity of 12 monthly payments of ₹ 1,500 that earns interest at 12% per annum compounded monthly. [(1.01)12 = 1.1262]


A bank pays 8% per annum interest compounded quarterly. Find the equal deposits to be made at the end of each quarter for 10 years to have ₹ 30,200? [(1.02)40 = 2.2080]


A person deposits ₹ 2,000 at the end of every month from his salary towards his contributory pension scheme. The same amount is credited by his employer also. If 8% rate of compound interest is paid, then find the maturity amount at end of 20 years of service. [(1.0067)240 = 4.9661]


Find the amount at the end of 12 years of an annuity of ₹ 5,000 payable at the beginning of each year, if the money is compounded at 10% per annum. [(1.1)12 = 3.1384]


The present value of the perpetual annuity of ₹ 2000 paid monthly at 10% compound interest is ___________.


Example of contingent annuity is ___________.


Find the amount of annuity of ₹ 2000 payable at the end of each year for 4 years of money is worth 10% compounded annually. [(1.1)4 = 1.4641]


An equipment is purchased on an installment basis such that ₹ 5000 on the signing of the contract and four-yearly installments of ₹ 3000 each payable at the end of first, second, third and the fourth year. If the interest is charged at 5% p.a find the cash down price. [(1.05)–4 = 0.8227]


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