Question

14.The present value of the perpetual annuity of ₹2000 paid monthly at 10% compound interest is
(a) ₹2,40,000
(b) ₹6,00,000
(c) ₹20,40,000
(d) ₹2,00,400​

Answer 1

Answer:

A

Step-by-step explanation:

Paid in 1 month= ₹2000

Paid in 1 year=₹2000×12=₹24000

10% compound interest=₹24000

1% compound interest=₹24000÷10

100% compound interest=₹24000÷10×100=₹240000

Answer 2

Step-by-step explanation:

A paid in one month is Rs2000

for annual 2000 X 12 = Rs24000

The present value of the prepetual for 10% compound is 24000 X 10 =240000