7. A bound has a maturity value of Rs. 2420 and is paying discrete compound interest at an effective annual rate of 10 per cent. Determine the discount if the bond reaches maturity value in two years time.
A. Rs 508
B. Rs. 2000
C. Rs. 242
D. Rs. 420
7. A bound has a maturity value of Rs. 2420 and is paying discrete compound interest at an effective annual rate of 10 per cent. Determine the discount if the bond reaches maturity value in two years time.
A. Rs 508
B. Rs. 2000
C. Rs. 242
D. Rs. 420