At what rate of interest will the present value of a perpetuity of ₹600 payable at the end of each quarter be ₹40,000 ?
At what rate of interest will the present value of a perpetuity of ₹600 payable at the end of each quarter be ₹40,000 ?
Solution
✅ Correct Option: 4
For a perpetuity, with the rate per period. So gives per quarter, which is , i.e. 6% per annum.
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