Practicing Success

Target Exam

CUET

Subject

-- Mathematics - Section B2

Chapter

Financial Mathematics

Question:

The purchase price of a ₹1,000, 8% bond, dividends payable semi-annually redeemable at par in  years, if the yield rate is to be 8% compounded semi-annually, is : [given $(1.04)^{-10}=0.6755$]

Options:

₹900

₹1,000

₹1,050

₹800

Correct Answer:

₹1,000