PRC-2 · Chapter 2 · Question 42 of 45
An investment produces Rs. 5,000 every year forever. This type of cash flow is called a/an:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Perpetuity
Explanation
A perpetuity is a financial instrument that pays a fixed amount of money at regular intervals indefinitely.
More Coordinate System and Its Application MCQs
- Q44What is the standard formula for the Future Value of an Ordinary Annuity (FVAn)?
- Q45A 'Sinking Fund' is established primarily to:
- Q1What is the term for a group of numbers used to indicate the exact position of a point or a line in a space of given dimensions?
- Q2If a point B is plotted at coordinates (12, 18), what does the number 12 represent?
- Q3What is the slope of the straight line defined by the equation y = 5 - 4x?