ExamBro
ExamBro
CUET · MATHS · PYQ PAPER 2023

A person creates a sinking fund to accumulate 60,000 in 5 years to buy a bike.
The amount to be deposited at the end of every quarter with a 12\% rate of interest compounded quarterly is :
Use \(\frac{0.03}{(1.03)^{20}-1}=0.0372\)

  1. A ₹ 2164
  2. B ₹ 2232
  3. C ₹ 2396
  4. D ₹ 2495
Verified Solution

Answer & Solution

Correct Answer

(B) ₹ 2232

Step-by-step Solution

Detailed explanation

\( n = 5 \times 4 = 20 \) \( i = \frac{0.12}{4} = 0.03 \) \( R = FV \times \frac{i}{(1+i)^n - 1} \) \( R = 60000 \times \frac{0.03}{(1.03)^{20}-1} \) \( R = 60000 \times 0.0372 \) \( R = 2232 \)
Same subject
Explore more questions on app
From CUET
Explore more questions on app