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Question
For annuity due,
C = ₹ 20,000, n = 3, I = 0.1, (1.1)–3 = 0.7513
Therefore, P =
= 2,00,000 [1 – 0.7513]
= ₹
Solution
For annuity due,
C = ₹ 20,000, n = 3, I = 0.1, (1.1)–3 = 0.7513
Therefore, P =
= 2,00,000 [1 – 0.7513]
= ₹ 49,740
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