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Corporate Finance · Quiz 1 · 23 Feb 2025 · January 2025 term

Question 2: An investment is expected to yield Rs 2,000 in two years,…

Question 2

+4 marksOne correct option

An investment is expected to yield Rs 2,000 in two years, Rs 4,000 in 4 years, and Rs 6,000 in six years. If the constant rate of return is 10% (compounded annually), what is the present value of this investment (Rounded off to nearest integer)?

  1. A

    Rs 12,000

  2. B

    Rs 8,196

  3. C

    Rs 7,772

  4. D

    Rs 6,000

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Correct answer

  • C

    Rs 7,772

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Question 2 of 25 in the IIT Madras BS Corporate Finance (Corporate Finance) Quiz 1 paper sat on 23 Feb 2025, in the January 2025 term (IIT M DEGREE AN EXAM QDB2 23 Feb 2025). It carries 4 marks.

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