Cima C03 Exam Question No 18

Question No 18:

An annual year-end income of £15,000 is required in perpetuity. Assuming a fixed rate of interest of
9% each year, and ignoring administrative charges, the sum required now to purchase the annuity is
closest to

A. £13,650.
B. £135,000.
C. £150,000.
D. £167,000.

Answer: D

Cima C03 Exam Question No 17

Question No 17:

An annual (year-end) income of £10,000 is required in perpetuity. If there is a fixed interest rate of 8% each year and administrative charges are ignored, the lump sum investment necessary now is closest to?

A. £9,260
B. £80,000
C. £100,000
D. £125,000

Answer: D

Cima C03 Exam Question No 16

Question No 16:

The following time series represents the weekly sales (£000) of a particular product:
Weekly Sales
£000
1             200
2             240
3             250
4             220
5             230
6             260
Assuming an additive model, and based on the information given, the seasonally-adjusted sales figure (£000) for week 4 will be

A. 237·5
B. 222·5
C. 220·0
D. 202·5

Answer: A

Cima C03 Exam Question No 15

Question No 15:

The sales of a product are recorded monthly for 24 months. The four-point (centred) moving averages are calculated and plotted on a graph.
How many moving average points are plotted?

A. 20
B. 21
C. 22
D. 24

Answer: B

Cima C03 Exam Question No 14

Question NO 14:

At a second checkout in the same supermarket as in sub-question, the service time has an arithmetic mean of 5 minutes and a standard deviation of 1 minute.
The coefficient of variation will be?

A. 50%
B. 20%
C. 5%
D. 2%

Answer: B