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CUET · MATHS · PYQ PAPER 2025

A person has set up a sinking fund in order to have Rs. 10,00,000 after 10 years for his child education. The amount should put bi-annually into account paying 5 % per annum compounded semi-annually is:
[Given \((1.025)^{20}=1.6386\)]

  1. A Rs. 29148.14
  2. B Rs. 39148.14
  3. C Rs. 35148.14
  4. D Rs. 36148.14
Verified Solution

Answer & Solution

Correct Answer

(B) Rs. 39148.14

Step-by-step Solution

Detailed explanation

\( PMT = FV \times \frac{i}{((1 + i)^N - 1)} \) \( PMT = 10,00,000 \times \frac{0.025}{((1.025)^{20} - 1)} \) \( PMT = 10,00,000 \times \frac{0.025}{(1.6386 - 1)} \) \( PMT = 10,00,000 \times \frac{0.025}{0.6386} \) \( PMT = 39148.14 \)