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How much must you save annually in order to accumulate Rs. 20, 00,000 by the ending of 10 years, whether the saving earns an interest of 12%?
Solution:
A = [k/((1 + k)n - 1)]FVAn
= Rs. 20,000 * 1/FVIFA12%,10
= Rs. 20,000 * 1/17.548
= 1, 11,400
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