CUET Preparation Today
The present value of a perpetuity of ₹800 payable at the end of each quarter, if money is worth 8% per annum. |
₹50,000 ₹20,000 ₹16,000 ₹40,000 |
₹40,000 |
The correct answer is Option (4) → ₹40,000 The present value of a perpetuity, $PV=\frac{A}{r}=\frac{800}{\frac{2}{100}}=40,000$ |
