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Financial Forensics · Quiz 2 · 3 Dec 2023 · September 2023 term

Question 24: Which of the two options will you consider investing if …

Question 24

+1 markOne correct option

You are presented with two investment options:
● A – Invest 5,00,000 today and get a payment of 35,000 per year forever.
● B – Invest 5,00,000 today and get 80,000 per year for the next 10 years.
Based on the above data, answer the given subquestions.

Which of the two options will you consider investing if the return is 7%

  1. A

    A

  2. B

    B

  3. C

    Both A and B are equally good

  4. D

    Can’t determine with the information given

Show answer

Correct answer

  • B

    B

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Question 24 of 25 in the IIT Madras BS Financial Forensics (Financial Forensics) Quiz 2 paper sat on 3 Dec 2023, in the September 2023 term (IIT M DEGREE AN2 EXAM QDB2 03 Dec 2023). It carries 1 mark.

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