CUET · MATHS · PYQ PAPER 2025
What sum of money is needed to invest now so as to get Rs. 5000 at the beginning of every month forever, if the money is worth 6% per annum compounded monthly?
- A Rs. 10, 05, 000
- B Rs. 15,00,000
- C Rs. 10, 50,000
- D Rs. 12,50,000
Answer & Solution
Correct Answer
(A) Rs. 10, 05, 000
Step-by-step Solution
Detailed explanation
\( i = \frac{0.06}{12} = 0.005 \) \( PV = PMT + \frac{PMT}{i} \) \( PV = 5000 + \frac{5000}{0.005} \) \( PV = 5000 + 1000000 \) \( PV = 1005000 \)
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