Chapter 7: Financial MathematicsMarch 14, 2024 Maven Leave a Comment Welcome to the Chapter 7: Financial Mathematics Quiz! Name Email 1. The dividend received on 200 shares of face value Rs. 100 at 8% is Rs. 1600 Rs.1000 Rs. 1500 Rs.800 None 2. What is the amount realised on selling 8% stock of 200 shares of face value Rs.100 at Rs. 0. Rs. 16000 Rs. 10000 Rs. 7000 Rs. 9000 None 3. Purchasing price of one share of face value Rs. 100 available at a discount of $9\frac{1}{2}$ % with brokerage $\frac{1}{2}$% is Rs. 89 Rs. 90 Rs. 91 Rs. 95 None 4. The % of income on 7 % stock at Rs. 80 is 9% 8.75% 8% 7% None 5. If a man received a total dividend of Rs. 25,000 at 10% dividend rate on a stock of face value Rs. 100, then the number of shares purchased. 3500 4500 2500 300 None 6. A person brought 100 shares of 9% stock of face value Rs. 100 at a discount of 10%, then the stock purchased is Rs. 9000 Rs. 6000 Rs. 5000 Rs. 4000 None 7. Rs. 5000 is paid as perpetual annuity every year and the rate of C.I. 10 %. Then present value P of immediate annuity is Rs. 60000 Rs. 50000 Rs. 10000 Rs. 80000 None 8. The annual income on 500 shares of face value Rs.100 at 15% is Rs. 7500 Rs. 5000 Rs. 8000 Rs. 8500 None 9. A man purchases a stock of Rs. 20,000 of face value Rs.100 at a premium of 20%, then investment is Rs. 20,000 Rs. 25,000 Rs. 24,000 Rs. 30,000 None 10. The brokerage paid by a person on the sale of 400 shares of face value Rs.100 at 1% brokerage Rs.600 Rs.500 Rs.200 Rs.400 None 11. An annuity in which payments are made at the beginning of each payment period is called Annuity due An immediate annuity perpetual annuity none of these None 12. A invested some money in 10% stock at Rs. 96. If B wants to invest in an equally good 12% stock, he must purchase a stock worth of Rs. 80 Rs. 115.20 Rs. 120 Rs. 125.40 None 13. The present value of the perpetual annuity of Rs. 2000 paid monthly at 10 % compound interest is Rs. 2,40,000 Rs. 6,00,000 Rs. 20,40,000 Rs. 2,00,400 None 14. If ‘a’ is the annual payment, ‘n’ is the number of periods and ‘i’ is compound interest for Rs. 1 then future amount of the ordinary annuity is $A=\frac{a}{i}(1+i)[(1+i)^{n}-1]$ $A=\frac{a}{i}[(1+i)^{n}-1]$ $P=\frac{a}{i}$ $P=\frac{a}{i}(1+i)[1-(1+i)^{-n}]$ None 15. Example of contingent annuity is Installments of payment for a plot of land An endowment fund to give scholarships to a student Personal loan from a bank All the above None Time's upRelated Posts:Chapter 4: Introduction To Financial MarketsChapter 8: Financial Statement AnalysisChapter 1: Introduction to Micro EconomicsChapter 2. Consumption Analysis
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