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InterviewSolution
This section includes InterviewSolutions, each offering curated multiple-choice questions to sharpen your knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Find the amount at the end of 12 years of an annuity of Rs 5,000 payable at the beginning of each year, if the money is compounded at 10% per annum. |
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Answer» Here a = 5000, i = 10% = \(\frac{10}{100}\) = 0.1, n = 12 Amount A = (1 + i) \(\frac{a}{i}\)[(1 + i)n – 1] = (1 + 0.1) \(\frac{5000}{\frac{10}{100}}\)[(1 + 0.1)12 – 1] = (1.1) 50000 [(1.1)12 – 1] = 55000 [3.1384 – 1] = 55000 [2.1384] = Rs 1,17,612 |
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| 2. |
The brokerage paid by a person on this sale of 400 shares of face value Rs 100 at 1% brokerage: (a) Rs 600 (b) Rs 500 (c) Rs 200 (d) Rs 400 |
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Answer» (d) Rs 400 Brokerage = 400 x 100 x \(\frac{1}{100}\) = Rs 400 |
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| 3. |
A man buys 400 of Rs 10 shares at a premium of Rs 2.50 on each share. If the rate of dividend is 12% find(i) his investment (ii) annual dividend received by him(iii) rate of interest received by him on his money |
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Answer» (i) Given Number of shares = 400 Face value of a share Rs 10 market values of a share = 10 + 2.50 = Rs 12.50 Investment = Number of shares x Market value of a share = Rs 400 x 12.50 = Rs 5000 (ii) Annual dividend = Number of shares x Face value x Rate of dividend = 400 x 10 x \(\frac{12}{100}\) = Rs 480 (iii) Rate of dividend = \(\frac{Dividend}{Investment}\) x 100 = \(\frac{480}{5000}\) x 100 = \(\frac{48}{5}\) = 9.6% |
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| 4. |
What is the amount related is selling 8% stacking 200 shares of face value 100 at 50? (a) 16,000 (b) 10,000 (c) 7,000 (d) 9,000 |
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Answer» (b) 10,000 Amount = 200 x 50 = 10000 |
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| 5. |
Which is better investment? 7% of Rs 100 shares at Rs 120 (or) 8% of Rs 100 shares at Rs 135. |
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Answer» Let the investment in each case be Rs (120 x 135) Case (i): Income from 7% of Rs 100 shares at Rs 120 = \(\frac{7}{120}\) x 120 x 135 = 7 x 135 = Rs 945 Case (ii): Income from 8% of Rs 100 shares at Rs 135 = \(\frac{8}{135}\) x (120 x 135) = 8 x 120 = Rs 960 ∴ 8% of 100 shares at Rs 135 is better investment. |
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| 6. |
A invested some money in 10% stock at 96. If B wants to invest in an equally good 12% stock, he must purchase a stock worth of: (a) Rs 80 (b) Rs 115.20(c) Rs 120 (d) Rs 125.40 |
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Answer» (a) Rs 80 Let x be B stock worth. Then (x) x \(\frac{12}{100}\) = \(\frac{10}{100}\) x 96 (x) x 12 = 10 x 96 x = 80 |
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| 7. |
If the dividend received from 9% of Rs 20 shares is Rs 1,620, find the number of shares. |
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Answer» Income = Number of shares x Face value of a share x Rate of dividend 1620 = Number of shares x 20 x \(\frac{9}{100}\) Number of shares = \(\frac{1620\times100}{20\times9}\) = 900 shares |
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| 8. |
The Income on 7 % stock at 80 is: (a) 9% (b) 8.75% (c) 8% (d) 7% |
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Answer» (b) 8.75% Income = \(\frac{7}{80}\) x 100 = 0.0875 x 100 = 8.75% |
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| 9. |
An example of a contingent annuity is:(a) Life insurance premium (b) An endowment fund to give scholarships to a student (c) Personal loan from a bank(d) All the above |
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Answer» (b) An endowment fund to give scholarships to a student |
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