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Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. How much would be each payment if the interest on unpaid amount be 12% p.a? a) Rs.3,432 b) Rs.6,432 c) Rs.6,711 d) none of these 28. A machine costs Rs.?
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Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,00...
Solution:


Given that Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. The interest on unpaid amount is 12% p.a. We need to find out how much each payment would be.

Calculation:

Total cost of the TV = Rs.63,000
Down payment made = Rs.30,000
Unpaid amount = Total cost of TV - Down payment
Unpaid amount = Rs.63,000 - Rs.30,000 = Rs.33,000

Time period = 3 years
Number of payments to be made = 2 payments per year for 3 years = 6 payments

Interest rate = 12% p.a
Semi-annual interest rate = 6% (as there are 2 payments per year)

Using the formula for annuity payment,

Annuity payment = (Unpaid amount x Semi-annual interest rate) / [1 - (1 + Semi-annual interest rate)^(-number of payments)]

Annuity payment = (33000 x 6%) / [1 - (1 + 6%)^(-6)]
Annuity payment = Rs.6711

Hence, each payment would be Rs.6711.

Answer:


Option c) Rs.6,711.
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Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,00...
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Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. How much would be each payment if the interest on unpaid amount be 12% p.a? a) Rs.3,432 b) Rs.6,432 c) Rs.6,711 d) none of these 28. A machine costs Rs.?
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Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. How much would be each payment if the interest on unpaid amount be 12% p.a? a) Rs.3,432 b) Rs.6,432 c) Rs.6,711 d) none of these 28. A machine costs Rs.? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. How much would be each payment if the interest on unpaid amount be 12% p.a? a) Rs.3,432 b) Rs.6,432 c) Rs.6,711 d) none of these 28. A machine costs Rs.? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Dev bought a TV costing Rs.63,000 by making a down payment of Rs.30,000 and agreeing to make equal semi-annual payments for three years. How much would be each payment if the interest on unpaid amount be 12% p.a? a) Rs.3,432 b) Rs.6,432 c) Rs.6,711 d) none of these 28. A machine costs Rs.?.
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