New ! Business Maths and Statistics MCQ Practise Tests



Financial Mathematics Book Back Questions

11th Standard

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Business Maths

Time : 00:45:00 Hrs
Total Marks : 30
    5 x 1 = 5
  1. The dividend received on 200 shares of face value Rs.100 at 8% is ________.

    (a)

    Rs. 1600

    (b)

    Rs. 1000

    (c)

    Rs. 1500

    (d)

    Rs. 800

  2. What is the amount relalised on selling 8% stock 200 shares of face value Rs. 100 at Rs. 50.

    (a)

    Rs.16,000

    (b)

    Rs. 10,000

    (c)

    Rs. 7,000

    (d)

    Rs. 9,000

  3. The % Income on 7 % stock at Rs. 80 is _______.

    (a)

    9%

    (b)

    8.75%

    (c)

    8%

    (d)

    7%

  4. If ‘a’ is the annual payment, ‘n’ is the number of periods and ‘i’ is compound interest for Rs. 1 then future amount of the annuity is  _______.

    (a)

    A = \(\frac{a}{i}(1+i)(1+i)^n-1]\)

    (b)

    A = \(\frac{a}{i}[(1+i)^n-1]\)

    (c)

    P = \(\frac{a}{i}\)

    (d)

    P = \(\frac{a}{i}(1+i)[1-(1+i)^{-n}]\)

  5. An annuity in which payments are made at the beginning of each payment period is called _______.

    (a)

    Annuity due

    (b)

    An immediate annuity

    (c)

    perpetual annuity

    (d)

    none of these

  6. 3 x 2 = 6
  7. A man buys 500 shares of amount Rs. 100 at Rs. 14 below par. How much money does he pay?

  8. A person brought at 12% stock for Rs. 54,000 at a discount of 17%. If he paid 1% brokerage, find the percentage of his income.

  9. If the dividend received from 9% of Rs. 20 shares is Rs. 1,620, then find the number of shares.

  10. 3 x 3 = 9
  11. A photographer purchases a camera on installments. He has to pay 7 annual installments each of Rs. 36,000 right from the date of purchase. If the rate of compound interest is 16% then find the cost price (present value) of the camera. [(1.16)7 = 2.2828]

  12. Find the amount at the end of 12 years of an annuity of Rs 5,000 payable at the beginning of each year, if the money is compounded at 10% per annum. [(1.1)12 = 3.1384]

  13. A capital of a company is made up of 1,00,000 preference shares with a dividend rate of 16% and 50,000 ordinary shares. The par value of each of preference and ordinary shares is Rs. 10. The total profit of a company is Rs. 3,20,000. If Rs. 40,000 were kept in reserve and Rs. 20,000 were kept in depreciation fund, what percent of dividend is paid to the ordinary share holders

  14. 2 x 5 = 10
  15. Machine A costs Rs. 15,000 and machine B costs Rs. 20,000. The annual income from A and B are Rs. 4,000 and Rs. 7,000 respectively. Machine A has a life of 4 years and B has a life of 7 years. Find which machine may be purchased. (Assume discount rate 8% p.a)

  16. A man sells 2000 ordinary shares (par value Rs. 10) of a tea company which pays a dividend of 25% at Rs. 33 per share. He invests the proceeds in cotton textiles (par value Rs. 25) ordinary shares at 44 per share which pays a dividend of 15%. Find
    (i) the number of cotton textiles shares purchased and
    (ii) change in his dividend income.

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