Match List-I (Excel Function) with List-II (Use)
List-I
(A) CUMIPMT
(B) PV
(C) PMT
(D) NPV
List-II
(I) This function returns the present value of an investment.
(II) This function calculates the periodic payment for an annuity, assuming equal payments and a constant rate of interest
(III) This function returns the cumulative interest paid between two periods
(IV) This function calculates the net present value of an investment by using a discount rate and a series of future payments (negative values) and income (positive values).
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → (A) - (III), (B) - (I), (C) - (II), (D) - (IV)
These are Excel's financial functions. The name of each function tells what it returns.
(A) CUMIPMT — this matches (III) This function returns the cumulative interest paid between two periods. CUM-I-PMT stands for cumulative interest payment, from a start period to an end period.
(B) PV — this matches (I) This function returns the present value of an investment. PV is present value: what a series of future payments is worth today, such as the loan amount.
(C) PMT — this matches (II) This function calculates the periodic payment for an annuity, assuming equal payments and a constant rate of interest. PMT is the payment per period, such as a loan instalment.
(D) NPV — this matches (IV) This function calculates the net present value of an investment by using a discount rate and a series of future payments (negative values) and income (positive values). NPV nets payments against income at a discount rate.
NCERT (2026-27 edition):
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