Discount Quiz 10 (10 MCQs)

Quiz Instructions

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1. What is the formula of discount percent?
2. Calculate the Present Value of Rs.1000 received in perpetuity for an infinite period, taking discount rate of 10%.
3. Mr. Rajan is to receive Rs. 5000 after 5 years from now. His time preference for money is 10%p.a. Calculate its Present Value, if the discount factor is 0.621.
4. Find the marked price when:Discount = 15% and SP= Rs. 1020
5. If the loan is discounted, it means that
6. The interest rate used to calculate the present value of future cash flows is called the:
7. The price of ceramic frying pan is $ 35. Ms Ivia paid $ 24.50 for it during end of year sale. How much % discount did she receive?
8. Explain how discounting is applied in business operations.
9. The price of a telephone is 200$ in shop A and 240$ in shop B. If you get 15% discount in shop B, where would you buy the telephone (both shops are next to each other)?
10. At a store, a shirt has a regular price of x dollars. During a sale, the price of the shirt is discounted by 30%. Which expression describes the discounted price, in dollars, of the shirt?