AAFM Exam CWM_LEVEL_2 Topic 1 Question 63 Discussion

Actual exam question for AAFM's CWM_LEVEL_2 exam

Question #: 63
Topic #: 1

Section C (4 Mark)

Read the senario and answer to the question.

Pallavi's marriage is expected by the end of December, 2010 with an expected present cost of Rs. 24,00,000. He is expected to realize from his Tatanagar Flat 18, 00,000 by that time. Calculate what additional amount is required for his daughter's marriage. With 8% pa. risk free rate compounding monthly what amount he has to save per month (BEGIN) in a debt fund?

ARs. 2,27,367 Rs. 7,663

BRs. 3,83,365 Rs. 9,815

CRs. 4,12,245 Rs. 8,615

DRs. 3,45,458 Rs. 11,363

Show Suggested Answer

Suggested Answer: B

by Jess at Aug 09, 2023, 10:43 AM

Limited Time Offer

25%

Off

Get Premium CWM_LEVEL_2 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Isaiah

1 months ago

Hey, Pallavi's getting married, but the real question is: will the marriage last as long as the debt fund investment? Just a thought!

upvoted 0 times

Rory

21 hours ago

D) Rs. 3,45,458 Rs. 11,363

upvoted 0 times

...

Glendora

4 days ago

I hope Pallavi's marriage lasts longer than the debt fund investment!

upvoted 0 times

...

Eden

10 days ago

A) Rs. 2,27,367 Rs. 7,663

upvoted 0 times

...

Ryan

2 months ago

Hmm, let me see. Ah, I think I've got it! The additional amount required is Rs. 6,00,000, and at 8% p.a. compounding monthly, the monthly savings needed is Rs. 8,615. Looks like option C is the winner!

upvoted 0 times

...

William

2 months ago

Whoa, this is like a finance riddle! I bet the answer is option C, it just looks right to me. But I should probably double-check my work just to be sure.

upvoted 0 times

Tresa

4 days ago

User 3: I'm not sure, but I'll go with option C as well. It seems like the most logical answer.

upvoted 0 times

...

Azzie

12 days ago

User 2: Yeah, I agree. Let's double-check our calculations just to be safe.

upvoted 0 times

...

Rosendo

23 days ago

User 3: Good idea, let's go over the numbers one more time just to be safe.

upvoted 0 times

...

Ben

28 days ago

User 2: Yeah, I agree. But let's make sure we double-check our calculations before finalizing our answer.

upvoted 0 times

...

Ahmed

1 months ago

User 1: I think the answer is option C too, it seems like the most reasonable choice.

upvoted 0 times

...

Kami

1 months ago

User 1: I think the answer is option C too, it seems like the most reasonable choice.

upvoted 0 times

...

Gail

2 months ago

Okay, I think I got this. The expected cost is Rs. 24,00,000, and the realized amount from the flat is Rs. 18,00,000. So the additional amount required is Rs. 6,00,000. Now to find the monthly savings at 8% p.a. compounding monthly, I just need to use the PV formula.

upvoted 0 times

...

Willodean

2 months ago

Hmm, this is tricky. I need to calculate the additional amount required, and then figure out the monthly savings needed to cover it. Let me think this through carefully.

upvoted 0 times