Applied Mathematics

Financial Mathematics

Hard

applied

The purchase price P of a Rs. 50,000, 6% bond, dividends payable semi-annually, redeemable at par in 10 years, if the yield rate is to be 5% compounded semi-annually. Then P is equal :

[Given $(1.025)^{-20} = 0.61027094$ ]

Rs. 35897.29

Rs. 53897.29

Rs. 53798.29

Rs. 58973.29

✅ Correct Option: 2

Semi-annual dividend $=0.03\times 50000=1500$ . Yield per period $i=0.025$ , $n=20$ .

$P=\frac{C}{i}[1-(1+i)^{-n}]+F(1+i)^{-n}$

$=60000(1-0.61027094)+50000(0.61027094)$

$=23383.74+30513.55=53897.29$ .

2026: 29 May Shift 2

The effective rate that is equivalent to a nominal rate of 8 % compounded continuously is :

2023: 23 May Shift 3

If the cash equivalent of a perpetuity of Rs.1200 payable at end of each half year is Rs.96,000, the annual rate of interest compounded half yearly is :

2023: 30 May Shift 3

Mr. Ram took a loan of Rs. 4,00,000 at 10% annual interest rate and paid Rs. 20,000 as monthly instalment under flat rate system. What is the term of the loan ?

2026: 29 May Shift 2

Which of the following is true about the sinking fund ?

2023: 23 May Shift 3

The effective rate that is equivalent to a nominal rate of 16% compounded semi-annually is :

2023: 15 June Shift 2

The present value of a perpetual income of ₹ $x$ payable at the end of each 6 months is ₹ 1,80,000. If the money is worth 5% compounded semi-annually, then the value of $x$ is ₹ :

The purchase price P of a Rs. 50,000, 6% bond, dividends payable semi-annually, redeemable at par in 10 years, if the yield rate is to be 5% compounded semi-annually. Then P is equal : [Given (1.025)−20=0.61027094(1.025)^{-20} = 0.61027094(1.025)−20=0.61027094]

Solution

Related questions:

Keyboard Shortcuts

CUET Mathematics Past Year Questions (Topic-Wise)

The purchase price P of a Rs. 50,000, 6% bond, dividends payable semi-annually, redeemable at par in 10 years, if the yield rate is to be 5% compounded semi-annually. Then P is equal :

[Given $(1.025)^{-20} = 0.61027094$ ]