Beruflich Dokumente
Kultur Dokumente
An entrepreneur setting up a leather processing unit purchased a land in 2006 for Rs. 50 lakh and got specialized
construction done in 2007 for Rs. 1.6 crore. In March, 2008 the processing plant was constructed at a cost of Rs. 2
crore. The cost of such construction and plant are escalating at 10% p.a. The corrosive nature of chemicals
requires depreciation on plant as well as premises at 15% p.a. on written down value basis. As in 2013, what
additional reserves should be created by the company apart from depreciation reserves and the residual insured
value of plant and premises to reinstate the facility in case it is destroyed in a calamity?
solution :
Rs. Plant installed in 2008 Depreciation rate on w-d-v method 15% p.a. Escalation cost 10% p.a. Year of
2007)) ]
Can you please explain why the depreciation rate is consider on the amount of installation and not the present
value(2013) , since in the question given below it is consider on the present value ?
A training institute bought 50 computers at a total cost installed for Rs. 25 lakh. The set up came into operation on
1st April, 2012. The cost of a similar new computer in due course declined to Rs. 42,000. The industry norm of the
depreciation charged on the computers is 30% on written down value basis. At what appropriate value he should
SOLUTION
Q.1 . An annuity product AA at rs 8640 p.a per lakh rs of purchase value offer annuity for life with a provision of 50
% of annuity payable to spouse during his/her life time on death of the annuitant , another annuity BB at rs. 7010
per annum per lakh rs of purchase value offer annuity for life with a provision of 100% of annuity payable to
spouse during his/her lifetime on death of annuitant along with return of purchase price on the death of last
survivor. Today your client and his spouse have respectively 20 years and 25 years more expected life. You
estimate the returns provided in AA and BB to arrive at right selection for your client as annuity.
Ans
A. AA better 41 basis points per annum better return than BB
B. BB offer 15 bps p.a better return than AA
C. BB offer 84 bps p.a better return than BB
D. AA its excess cash flow invested at conservative 8 % p.a gives higher value than the purchase price after
matching cash flow of BB
Q. 2. You are analysing net worth statement of your client. She took a car loan of 8 lakh @ 12% p.a three years
ago and a personal loan of rs 3 lakh @ 18 p.a a year ago. There are 2 more years remaining in the tenure of both
the loans. She gets a wind fall of rs 6 lakh . She ask you whether to invest this in bank Fd @ 9% p.a for 2 years .
You advice her to repay both loans and invest the amount of EMI’s systematically every month in tax efficient
market oriented security. You estimate in a return band of 8-10% her revised net worth with lower tax incidence
after 2 yrs . If she adheres to your advices her net worth may rise b/w
A. 73000 to 91000
B. 32000 to 46000
C. 28000 to 41000
D. 37000 to 52000
Q.1 You have to find IRR for both the options, with outflow of Rs100000 with inflow of Rs.8640 for 20 years & 4320
for 5 years and @7010 for 19 years and 107010 for the 20th year. You will get IRR of 6.53% and 7.01% which will
not match with the answers.Then take up the difference between the cases which will be +1630 for 20 years and
-2690 for the next 5 years. If you find the FV of these payments which would be more than 100000 which in turn
matches with the answer(d).
Tenure Yrs 5 3
PV now 3,78,038 2,17,244 Total Loan Balance 5,95,282 Will be closed now
Difference between the FV through SIPs and FD FV will be 740735-712860 = 28875 or 754272-712860=41412
Rajesh, aged 35 years, wishes to retire at 60. If his present monthly expenses are Rs. 50,000 and life expectancy
is 75 years, calculate the additional corpus required in case he lives longer by 10 years than his life expectancy.
Assume inflation to be 7.5% p.a.
1ST
2-find RRR=8-7.5/1.075=0.46512
2ST HERE HIS LIFE EXPn increase by 10yrs after 75 age it means that he lives at age of 85
2-find RRR=8-7.5/1.075=0.46512
As you suggested here are the questions I faced in yesterday’s RAIP paper
Four questions (exactly same) given below which have appeared in your blog ( by Hepguy on 25th Mar 2014) were
asked
Fire in mall,
Bungalow damage
I therefore thank you for your blog which helped to prepare for exam.
Four questions were very similar from sample papers although slightly tweaked.
Air condition insurance on replacement basis with (WDV instead SLM) method,
Around 5 – 6 questions on insurance policy calculation. All the questions were tweaked and far different from
sample papers.
One on comparing returns of money back policy paid up value with 8% return
The additional questions which did not appeared in your blog were as below
Pardon me for not remembering the exact answers and the wording and figures in the questions, but I tried to
1) Ramesh to car loan of Rs 8 Lakhs and personal loan of Rs 3 lakh. The rate of interest is 12 % and 18 % with
monthly reducing basis. He made windfall gain of Rs 6 Lakhs in 2013. His financial advisor advised him to repay
these loans and invest the monthly installment in Bank deposits with interest rate between ranges of 8 – 10 %. He
has two more years to repay these loans. Do you think the advice given to him is correct?
Ans:
– Yes, as his net worth will increase between Rs xxxxxx to Rs xxxxxx ( I don’t remember the no)
– Yes, as his net worth will increase between Rs xxxxxx to Rs xxxxxx (I don’t remember the no)
2) Tow companies A and B purchase land in 2006. Company A completed construction in 2007 for Rs 70 lakhs and
started manufacturing plant in 2008 for Rs 1.5 cr. Company B completed the construction in 2009 for Rs 90 lakhs
and started manufacturing plant in 2009 for Rs 2 cr. Company A provides depreciation @ 10% on SLM method
whereas Company B provides depreciation on WDV method. What addition reserves Company A need to provide on
3) Ashok, a doctor by profession of age 33 years and have productive practice till age 62. His annual income is Rs
40 lakhs and monthly expenses are Rs 60000 of which he accounts for 15%. He has 2 daughter age 6 and 12. He
wishes to provide fund of Rs 20 lakhs for each in today terms their education when they are 18 years old. He has
already made provision of Rs 27 lakhs towards this. He has insurance policy of Rs 15 lakhs. He wish to make
provision of his next 5 years and for non-working wife for next 40 years. How much insurance he should take now.
4) Mahesh, a lawyer by profession is 38 years old. He has three polices of Rs 20 lakh, RS 20 Lakhs and Rs 15
Lakhs money back with survival benefit of 15 % every 5 years of which 1 benefit is received. All these policies are
maturing at his age of 60. He has a 2 daughter age 10 and 12 years. His annual earning are Rs 30 Lakhs. He wish
to make provision of Rs 20 lakhs in today’s cost for each for their marriage when they will be 21 years. His monthly
expense is Rs 50000 of which he accounts for 25 %. Calculate the insurance he need considering his tenure for
next 10 years and for the expenses for his non-working wife for next 30 years.
5) Two different policies one with money back and other endowment were asked to compare with respect to cover
and returns and was asked to suggest which is more suitable for a man age 32 with monthly expense of Rs 35000
( policy holder account for 20%) and non-working wife for her expenses for 30 years.
Regret I do not remember the figures in questions and answer options as Time was out for me.
14) Ajay and Bela Mahera have two children ages 5 and 7. The Mehera.s want to start
saving for their children.s education. Each child will spend 6 years at college and will
begin at age 18. College currently costs Rs. 20000 per year and is expected to increase at
6% per year. Assuming the Mahera.s can earn an annual compound return of 12% and
inflation is 4%, how much must the Mehera.s deposit at the end of each year to pay for
their children.s educational requirements until the youngest is out of school? Assume that
educational expenses are withdrawn at the beginning of each year and that the last deposit
will be made at the beginning of the last year of the younger child.s college education.
A Rs. 15230
B Rs. 14,989
C Rs. 12,386
D None of the above
Solution: Step 1) Calculate the Inflation adjusted present value of tuition expenses for
both children using Cash Mode: Inflation adjusted return = ((1.12/1.06)-1)*100 = 5.66
D.Editor x-
1: 0, 2: 0, 3: 0, 4: 0, 5: 0, 6: 0, 7: 0, 8: 0, 9: 0, 10: 0, 11: 0, 12: 20000, 13: 20000, 14:
40000, 15: 40000, 16: 40000, 17: 40000, 18: 20000, 19: 200000.
NPV = 108657.86
Step 2) So the present value of the education is 108657.86. The sum of money needed to
be invested at end of each year until the youngest child is out of school:
End Mode: PV = 108657.86, I = 12, N = 18, PMT = -14989
5) Vinita was recently divorced and has two children. The divorce decree requires that
she pay 1/3 of the college tuition cost for her children. The tuition cost is currently Rs.
15,000 per year and has been increasing at 7% per year. Her son and daughter are 12 and
16 respectively and will attend college for four years beginning at age 18. How much
should she save each month, beginning today for the next five years to finance education
for both the children (in nearest rupee)? Assume that her after-tax rate of return will be
9% and that general inflation has been 4% p.a.
A) Rs. 750
B) Rs. 739
C) Rs. 2,235
D) Rs. 2,500
Solution: Step 1) Tuition Cost for each child for Vinita = Rs 5000.
Calculate the Inflation adjusted present value of tuition expenses for both children using
Cash Mode: Inflation adjusted = ((1.9/1.07)-1)*100 = 1.869
D.Editor x-
1: 0, 2: 0, 3: 5000, 4: 5000, 5: 5000, 6: 5000, 7: 5000, 8: 5000, 9: 5000, 10: 5000.
NPV = 36158.96027 because son 6 year collage will begin age 18 for four year so 6+4=10 for son +four year
Step 2) so the present value of the education cost is 36158.96. The sum of money needed
to be invested monthly in begin mode until the youngest child is out of school:
Begin Mode: PV = 36158.96027, I = 9/12, N = 5*12,
PMT = -739
4. A perpetual bond of Rs.1000 is selling at Rs. 930. The coupon rate is 14.5% and the discounted rate is 15%.
Solution B
17. Given a) Personal consumption of goods & services = 150 Billion, B) Government expenditure = 70 billion C)
Private sector fixed capital expenditure = 50 billion D) Export receipts = 75 billion E) Import expenditure = 80
a. 425 billion
b. 270 Billion
c. 295 billion
d. 265 billion
Solution : D
21. Bond Face value Rs 1000 and coupon rate 8% with market rate is 10%. If the bond is perpetual the value of
a. 800
b. 750
c. 1000
d. 1200
Solution A
77.The current yield of a bond, with coupon rate of 7.5% & market price of Rs.105
Is ___
a. 7.143%
b. 7.413%
c. 6.143%
d. Nil
Solution A
a.. 100
b. 106.75
c. 107.76
Solution B 79. Calculate the bonds price with face value of 100 & coupon rate of 11.5% maturing in 3 years, if the
ytm is 9%.
a. 106
b. 106.3208
c. 100
d. 105
Solution B
10) A client purchased a zero coupon bond 6.5 years ago for Rs. 525. If the bond matures today and the face value
is Rs. 1,000, what is the average annual compound rate of return (calculated semi-annually) that the client realised
on her investments? – Marks : 4
10.40%
5.08%
11.34%
10.16%
Correct answer
Mr. Rajan’s investment portfolio comprises Rs.2 lakh in equity, Rs.5 lakh in debt and Rs. 1 lakh in his bank current
account.
Over one year the returns on equity and debt are 5% and 12%. At the end of the year to maintain his current
asset
Ans. He needs move Rs.7500/- to equity from debt and Rs. 8750/-to cash from debt
Equity of Rs.2.00 Lakhs form 25% of total amount of 8.00 Lakh. After one year with the return of 5% it would be
200000+10000 = 210000
Similarly Debt of 5.00 Lakhs is 62.5% of 8 lakhs. After one year with the return of 12% , it would be
500000+60000 = 560000.
The current account bal of Rs.1.00 Lakh forms 12.5% of 8.00 Lakh, and would remain the same as the Bank
current account does not get any interst. ( in fact there would be service charges, which is ignored)
After one year, the total would be 870000( 210000+560000+100000). To maintain the same percentage of
25%,62.5%& 12.5%, the amount in these heads should be 217500, 543750 &108750. To acheive this, he has to
transfer Rs.16250 fro Debt fund to Equity ( 7500 ) and Current a/c ( 8750 ).
A client has the need to provide for the cost of his child’s college education. He envisages that four annual
payments of Rs. 20,000, in current money terms, would be needed beginning 15 years from now. Assuming level
of inflation at 5% per annum and that the fund earns 8% per annum returns throughout, calculate the present
value to be placed on this liability when carrying out a needs analysis for this client. (Round of your answer to the
nearest ’000′) – Marks : 4
(b)Rs. 49000
(d)Rs. 23,000
Q 1. Some of the market surveillance systems already in place by SEBI are [1 Marks]
4.798
4.98
5.235
5
I am not attempting this question
Q 9. Six years ago ABC Ltd issued 10 years bond with a coupon rate of 11%.
If the investors' required rate of return (IRR) on these bonds is 9%, the [4 Marks]
bonds will be priced at
Below par
Above par
Above and below par
At par
I am not attempting this question
Q 10. On your lease you pay Rs.500 at the end of each month for the next 12
months. Now your landlord offers you a new 1-year lease, which calls for
[4 Marks]
zero rent for 3 months, then rental payments of pRs.700 at the end of
each month for the next 9 months. You keep
Rs.509.81
Rs.253.62
Rs.125.30
Rs.253.62
I am not attempting this question
Insurance planning
1.
Suryakant has an accident insurance policy which pays Temporary Partial Disability (TPD) benefit of Rs. 3,000 per
week, for upto 104 weeks. He meets with an accident and is disabled and bedridden for 6 months. He has
available leave of 4 weeks, after which he is on loss of pay. What benefit amount will he get from the insurance
company? – Marks : 4
(b)Rs. 72,000
(d)Rs. 78,000
2.
Binding Authority of an insurance broker means __________. – Marks : 2
(a) the authority of brokers to accept risks within certain limits and term as set out by the Insurers
3.
A Life insurer receives an application for Rs. 20 crores. However the insurer is not ready to take this risk, but
simultaneously does not want to leave the business. The insurer company shops around and contracts another
insurer to assume a certain percentage of loss for a corresponding percentage of premiums. This is a case of
_____________. – Marks : 2
(b)Treaty reinsurance
4.
Reliable age proof must be given along with the proposal form of life insurance which could be a : (A) Certified
copy of birth certificate of Municipal Corporation (B) Marriage certificate issued by Marriage Registrar (C) Registerd
(a) (A)
(b)(B)
5.
Mr. Singh bought a Rs. 10 lakh term life Insurance Plan on 10 Aug 2006 by payment of Regular premium of
Rs.3,200 for 15 years. On July 15 2008 Mr. Singh committed suicide. What is the benefit amount payable to Mr.
(b)NIL
(d)Rs. 10,00,000
6.
(A) In level term insurance policies, the coverage remains constant throughout the term. (B) The premium
payable in level term insurance policies can remain same or increase with change in working conditions of
Insured. – Marks : 2
(d)(A), is correct
7.
Any possible occurrence which may have a negative financial implication can be plotted on a graph with X axis
measuring the frequency (low-high) and Y axis measuring the financial impact (low-high). It would not be
practical to purchase insurance for events which would fall in the high frequency, high impact quadrant because
_________. – Marks : 2
(a) the best way to cover such a risk would be to alter the functioning of the business
(d)such occurrences are so few that no insurer would be offering a risk cover
8.
A type of risk with high frequency but low severity is probably best handled by: – Marks : 1
(a) Transfer.
(b)Coinsurance.
(c) Reinsurance.
(d)Self Insurance.
9.
10.
(a) insured gets compensation to the extent he has insured, irrespective of amount of loss
11.
(a) A bulk of the premium is invested and a small portion is used to provide life cover.
(b)An Endowment Policy provides larger life cover than a Whole Life Policy, at lower premium due to its cash
value.
(c) An Endowment Policy is similar to PPF in terms of returns but gives extra benefit of insurance cover.
(d)An Endowment Policy is usually less expensive than a Whole Life Policy due to the fixed nature of the term
12.
Whole life insurance contracts contain cash surrender values. These cash surrender values: – Marks : 1
(b)Are based on the past experience of the insurance company and cannot be guaranteed.
(c) Represent an excess of the premiums collected over pure insurance costs and earnings credited.
(d)Are available only if the insurer chooses to terminate the coverage under the policy.
13.
In case of a life insurance policy, if the gross annual premium amount does not exceed the sum assured by 20%,
then _______. (A) Death benefit is tax free. (B) Death benefit is taxable. (C) Maturity benefit is tax free. –
Marks : 1
14.
Which of the following statements is/are NOT true about a warranty in an insurance contract? (A) Declarations on
the proposal form can be warranties by reference. (B) Warranties help the insurer to ensure that the risk stays the
same during currency of the policy. (C) Warranties have to be followed literally. – Marks : 1
(b)(B)
(c) (A)
(d)None of the above
15.
Which of the following statements is/are correct? (A) Limits for transacting life insurance in rural sector are laid
down in number of lives insured. (B) Limits for transacting life insurance in social sector are laid down in number
(b)(B), is correct
16.
(b)Insuring a person in the high risk category without loading his premium
(c) Insuring a person susceptible to genetic diseases but at a substantially higher premium
(d)Insuring a person whose risk profile is low, hence compelling the company to offer him a discount in premium.
A firm needs to borrow funds on a short term basis without reducing its current ratio below 1.25. The firms’ current
assets and current liabilities are Rs.1,600 and Rs.1,000 respectively. What amount can the fund borrow? – Marks :
Ajay has a net worth of Rs. 2,00,000 at the beginning of the Financial Year 2006-2007. The following transactions
occurred during the Financial Year 2006-2007 with respect to his account. 1. Paid off credit card liability worth Rs.
10,000 using savings account 2. Transferred Rs. 4,000 from savings account to PPF account 3.Purchased Rs. 2,000
of furniture with credit. What is the net worth of Ajay after these transactions? – Marks : 4
(b)Rs. 1,84,000.
(d)Rs. 2,00,000
3.
” Member should act with care and skill in providing Financial Planning Services”. This Forms part of ________ in
(a) Fairness
(b)Diligence
(c) Integrity
(d)Competence
4.
Divya, a CFP certificant, recently took Ajay as a client. After receiving an excessive number of questions from Ajay
regarding his plan, Divya became desperate and changed her business phone number to an unlisted number. She
notified Ajay that he could not have her new phone number, and that he must communicate with her via e-mail or
fax. Which principle, if any, embodies Rules that require Divya to provide Ajay with her new number? – Marks : 2
(a) Integrity.
(b)Fairness.
(c) Objectivity.
(d)Professionalism.
5.
6.
(b)English mortgage
(d)simple mortgage
7.
While making an investment in a Debt fund for your client you make the following remarks: (A) Rate of return by
the instrument in the past is 8.5% and is expected to continue in future. (B) The investment would have low risk.
In view of the CFP code of Ethics, which of the above statement is voilative?-Marks : 2
(b)(B), Only
8.
(A) In India, only the lessor is allowed to charge depreciation on the assets and claim tax deductions. (B) In India,
only the lessee is allowed to charge depreciation on the assets and claim tax deductions. – Marks : 1
9.
Which of the following is a reasonable assumption to make about the understanding of a client on the Financial
(b)Client would have some knowledge of the assumptions on which Financial Plans are made
10.
While presenting and reviewing a Financial Plan to the client, you would do all of the following except ______. –
Marks : 1
11.
12.
A Financial Planner identifies and distinguishes between the needs and wants of the client. Priority should be given
to __________. – Marks : 1
(c) Needs
(d)Wants
13.
Suresh, a Certified Financial Planner, is preparing a letter to circulate among prospective clients and the letter
contains information on services provided by his firm. According to the Code of Ethics and Rules of Professional
Conduct, all of the following information should appear in the letter except ________. -Marks: 1
(d)identity of the firm providing the service and the nature of services offered
14.
Deficit financing provision in the Budget will lead to the following/s: (A) Increase in money supply and rise in prices
of goods and services in market(B) Fall in national income and Increase in GDP. – Marks : 1
Dear all, here are some more questions to practice for insurance, suggested by readers of this blog.
1.
A Client has a 20-year moneyback policy with Sum Assured of Rs. 200000, Premium per annum 13,672. 20% will
be paid to the policyholder at the end of the 5th year, 10th and the 15th year and 40% for the 20th year. The client
has received the 3rd moneyback. You estimate the gross returns presently in the policy considering reversionary
bonus of Rs. 50/1000 Sum Assured. You compare the cost benefit if the client pays all premiums & survives the
policy & also gets Rs. 150/1000 Sum Assured as loyalty Bonus. You conclude that ______
1. The additional inflow on 5 future premiums less opportunity cost would be 12% return
2. The additional inflow on 5 future premiums less opportunity cost would be more than 19% return
3. The additional inflow on 5 future premiums less opportunity cost would be 30% returns or more
2.
A family spends 35000 pm. There is a loan outstanding of 42 lakhs. The client’s son wants to study abroad after 5
years and 50 lakhs is the cost against which he has a saving of 27 lakhs. Find Inflation adjusted life cover for
replacing the client, for 5 years of family expense & such life expenses @ 40% for souse’s 30 years survival.
1. 109 Lakhs
2. 101 Lakhs
3. 106 Lakhs
4. 91 Lakhs
3.
A client has a cash asset of 70 Lakhs, a housing loan of 52 lakhs. 6 years hence wants 1 cr to set up child business
and 10 years hence wants 50 Lakh for daughter’s marriage. What is the life cover required? Inflation adjusted
monthly expense 50000 now for his family & that of the spouse 35 years survival continuing after 10 years.
1. 220 Lakh
2. 299 Lakh
3. 144 Lakh
4. 162 Lakh
4.
A client has a car loan of 10 lakhs with an EMI of 21494/m @ 10.5% and 2 years left for the loan. He also has a
personal loan of 3.2 lakhs with an EMI of 11569/m @ 18% and 2 years left. He receives a sudden inflow of 4 lakhs
which he can put in 10% FD for 2 years. Will you advice to repay the loan & invest the EMI systematically every
1. Yes the accumulated amount after 2 years would be more by atleast 20,000 with lower tax than FD
2. No, FD maturity will be 8,47,000 against total outflow of 7,93,500 in 2 years in loan
FV OF FD
PV = 4,00,000
N=2
I/Y = 10
FV1 = 4,84,000
REPAY PERSONAL LOAN AND USE REMAINING AMOUNT TO PAY CAR LOAN
FINAL ACCUMULATION:
N = 24
I/Y = MNR OF 9%
FV2 = ?
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Following Questions have been suggested by one of the reader as important for CFP exam. I don’t own any of the
Q1. A bunglow was constructed at a cost of rs 2crore in 2006 and a further Rs1crore was spent over on furnishing
in 2008.the bunglow is valued at Rs12 crore in 2012.the costs of construction and furnishing have escalated rate
10% and 15% respectively over the period.the owner wants to totally absolve himself of any expences,in case
bunglow is razed down due to some peril. what value would you advise the owner to insure the property?
A) 5.34 Crore.
B)3.50 crore.
C)5.90 crore.
D)5.29 crore.
Q2. A client’s 20 year money back policy of sum assured rs 2 lakh has annual premium of rs 13672, Policy pays
back 20% of s.a after each of first three 5-years survival periods and another 40% of s.a on surviving full term.
The client has received the third money back. You estimate the gross returns presently in the policy considering
reversionary bonus of rs 50 per thousands s.a. you compare the cost benefit if the client pays all premiums and
survives the policy and also gets rs 150 per thousand s.a as loyalty bonus. you conclude that _________.
b)the additional in flow on 5 future premiums would amount to over 19% p.a returns
c) the additional in flow on 5 future premiums would amount to nearly 30% p.a returns
d) the additional in flow on 5 future premiums less opportunity cost would amount to nearly 12%
CF-BGN CF-BGN
1 -13672 1 -13672
2 -13672 2 -13672
3 -13672 3 -13672
4 -13672 4 -13672
5 -13672 5 -13672
6 26328 6 26328
7 -13672 7 -13672
8 -13672 8 -13672
9 -13672 9 -13672
10 -13672 10 -13672
11 26328 11 26328
12 -13672 12 -13672
13 -13672 13 -13672
14 -13672 14 -13672
15 -13672 15 -13672
16 190000 16 26328
IRR 4.80% 17 -13672
– – 18 -13672
– – 19 -13672
– – 20 -13672
– – 21 310000
– – IRR 5.95%
Q3. Mr. A has gross annual salary of 9 lakh of which he saves 30% which include statutory EPF deduction, PPF and
monthly systematic investment in long term MF scheme. Another 30% goes toward servicing of household & car
loan & taxes. His financial planner advice him to accumulate 6 months household expense in liquid fund. HE change
job and expect immediate rise of 20% in his gross income .You estimate that other heads would not change
materially except his household expense which would rise by 5% due child education. How many months will it
a.25months
b.11months
c.14months
d. 13 months
Q4. An industrialist started a project on 1st nov 2009 with own capital of rs 1crore. He arranged a project of rs
1.5crore by a back on 1st july 2009 at a rate of 12%p.a. the terms of finance were
quarterly invested.only payments up to six quarter and the repayment of premium in three equal installments from
the end of seven quarter along with interest on the loan outstanding.he infuced fresh own funds towards working
capital of rs 20 lakh on 7th december 2009 and rs 30 lakh on 4th november 2010.the project completed with a
profit of rs 4.5crore on 6th september 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
Q5. A company in the business of warehousing.in 2012,insured its warehouse premises also calamity for a value of
rs 1.65cr towards liability coverage,separate insurance towards clients for rs 15cr each were taken to cover the
goods kept at any time.the company has cover of rs 10cr also.the warehouse was completely destroyed
in fire.the registered amount of rs 30cr.what insurance can be setteled in the company’s claim?
Q6. CD is promissory note issued by Bank and Financial Institute. That is part of?
A) CRR only
D) SLR only
Q7. Car comprehensive loan is 1.5 lakh. Deducted 5000 from insurance. The car is damaged for an amount of 60 k
with 10k accessories he forgets to declare it. Insurance he gets 30k. What will be the claim he will get.
a) 50k, and 5 k
c) 50 k and 10k
d) 45 k and 10k