Assignment # 1

Total marks: 10

Question # 1

Answer

Basic salary = 37000

Allowances = 22,000

As we now that allowance is always 50% of the basic salary

So here basic salary is 37000 * 50 / 100 = 18500

And 22000 - 18500 = 3500

Hence 3500 Rs. of allowances are taxable.

Total taxable income = 37,000 + 3500 = *40,500 Rs*

Question # 2

Answer

Basic salary=12000

House rent allowance = 45% = 45/100 = 0.45 = 0.45*12000 = 5400

Conveyance allowances = 5% = 5/100 = 0.05 = 0.05*12000 = 600

Utility allowances = 7% = 7/100 = 0.07 = 0.07*12000 = 840

Group insurance/Medical = 0% = 0

Total Allowances = 5400 + 600 + 840 = 6840

Misc. Social Charges = 5.8/100 * 18840 = 1092.72

Gross salary =12000 + 6840 = 18840

Cost of casual leave per year=12/(26*12)*18840*12 = 8695.38

Cost of earned leave per year=24/(26*12)*18840*12 = 17390.76

Sick leave = 0

Total cost of leaves = 26086.14/ 12 = 2173.845

Now Find Gross Remuneration By Your Self…

Question # 3

Answer

TRADE DISCOUNT

Net Price = L* (1 - D)*(1 - D)*(1 - D)

= 9100 *(1- 0.2)*(1-0.1)*(1-0.05)

=9100 *(0.8)*(0.9)*(0.95)

=9100*0.684

=6224.4

DISCOUNT

Net price = 9100 - 6224.4

*= 2875.6*

Question # 4

Answer

Given

n=7

i=9%

F. V = 325000

As we know that

F.V = P.V (1 + i ) ^ n
325000 = P.V (1 + 0.09)^ 7

325000 = P.V ( 1.83)

P. V = 325000/1.83

*P.V = 177595.62 answer*

Question # 5

Answer

Given

n = 20 x 2 = 40

i = 11% = 0.11/2 =0.055

P. V = 28000

As we know that

F.V = P.V (1 + i ) ^ n -1 /i

F.V = 28000 (1 + 0.055)^40 - 1 / 0.055

F.V = 28000 ( 136.60)

F. V = 3824800

*F.V = 3824800 answer*

Question # 6

Answer

Percentage change in price of item

856 - 752 = -104

Percentage change =-104/856 *100 = *-12.149%*

Question # 7

Answer

Given

n = 15

m =12

i = 5%

P .V = 9000

As we know that

F.V = 9000 ([1 - 1/(1+i/m)^n*m]/i/m

F.V = 9000([1 -1/(1+0.05/12)^15*12]/0.05/12
F.V = 9000([1 - 1/(1+0.0041667)^180]/0.0041667
F.V = 9000([1 - 1/(1+0.0041667)^180]/0.0041667
F.V = 9000([1 - 1/(1.0041667)^180]/0.0041667
F.V = 9000([1 - 1/2.1137]/0.0041667
F.V = 9000([1 - 0.4731]/0.0041667
F.V = 9000[0.5269]/0.0041667

F.V = 9000[126.4549]

*F.V = 1138094 answer*