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CUET · MATHS · PYQ PAPER 2025

A man wishes to ensure that he gets Rs. 75,000/- at the end of each year indefinitely. The amount that he invest now to produce the desired cash flow, if money is worth 2.5% compounded annually is:

  1. A Rs. 30,66,337
  2. B Rs. 30,00,000
  3. C Rs. 30,45,339
  4. D Rs. 30,66,373
Verified Solution

Answer & Solution

Correct Answer

(B) Rs. 30,00,000

Step-by-step Solution

Detailed explanation

\( PV = \frac{A}{r} \) \( PV = \frac{75000}{0.025} \) \( PV = 3000000 \) Rs. 30,00,000
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