AAFM Exam CWM_LEVEL_2 Topic 7 Question 96 Discussion

Actual exam question for AAFM's CWM_LEVEL_2 exam

Question #: 96
Topic #: 7

Section A (1 Mark)

Mr. Murli is 55 years old at present. He has invested some amount in an annuity which will pay him begining of the 5th year Rs. 30,000/- p.a. at the beginning of every year for 10 years. Rate of interest is 7% p.a. Calculate how much amount he has invested now?

A172000.04

B169123.09

CC182123.98

D345982.12

Show Suggested Answer

Suggested Answer: B

by Patria at Jan 26, 2025, 03:07 PM

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Corrie

3 days ago

Hmm, let me break this down step-by-step. 55 years old, 10-year annuity, 7% interest, annual payments of 30,000. Yep, B is the correct answer for sure. I've got this in the bag!

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Ramonita

9 days ago

Whoa, this is a tricky one! Gotta love those annuity questions with the present value calculations. Let me see, I think the answer is B, 169123.09. No way I'm getting that D option, that's way too high!

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