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NEW QUESTION: 1
Section C (4 Mark)
Mr. Chopra runs a Garment Factory, he is very concerned about his retirement and wants you to help him out in planning for it. His Current annual expenses are Rs. 12,00,000 which would be rising at an annual rate of
8% pre- retirement and 2% post retirement. His current age is 50 years and he wants to work till the age of 65.
The expected life expectancy in his family is 75 years. Calculate the monthly contribution he must make till his retirement if the pre- retirement returns are 12% p.a. compounded monthly and post-retirement returns are
8% p.a compounded annually.
A. 0
B. 1
C. 2
D. 3
Answer: C

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