Question
Under the defined contribution plan, the amount of
pension on retirement is dependent upon which of the following factors?Solution
A Pension plan be either a defined benefit plan or a defined contribution plan. A defined contribution plan is one in which the pension depends on the contributions made and the return generated on the investment made of those contributions. In this plan, the contribution made for the pension fund is defined or fixed. For example NPS or EPF where a fixed amount is contributed every month from the salary.
A certain sum is invested at a compound interest rate, compounded annually, which grows to Rs. 12,240 after 2 years and to Rs. 17,625.6 after 4 years. I...
Rahul placed Rs. 40,000 between two investment options, ‘E’ and ‘F’, for 6 years and 3 years, respectively. Option ‘E’ accrues simple intere...
A person borrows Rs 400 at 5% compound interest per annum. If he returns Rs 200 after one year, then how many more rupees will he have to pay at the end...
Sneha deposited Rs. ‘R’ in a bank offering compound interest of 13% p.a. compounded annually. After 3 years, she invested the amount received from t...
A man invested Rs. 7,000 at simple interest of 'x%' p.a. and received Rs. 14,000 after 2 years. If he had invested Rs. 80,000 at simple interest of 'x%'...
If the ratio of the sum invested and simple interest received after 1 year is 25:14 respectively, then find the rate of interest.
The simple interest on a sum of Rs. (6400 + x) invested for 3 years is Rs. 4,800. If the interest rate is 12.5% per annum, find the value of x.
A certain sum amounts to ₹13200 after 4 years and to ₹16400 after 8 years at the same rate percent p.a. at simple interest. The simple interest (in ...
The difference between compound interest and simple interest on a sum for 3 years at 10% per annum is Rs 93. Find the principal.
Viraj invested Rs. 3500 at 20% p.a. simple interest for 3 years. After 3 years, he invested the amount received by him at the 20% p.a. compound interest...
