NISM 10A Investment Adviser Level 1 Notes

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  • Present Value Formula: Used to calculate the current worth of a single future cash flow or annuity.
  • Future Value Formula: Determines the future worth of a present sum or series of cash flows.
  • Annuity Applications: Common in loan repayments, pensions, and recurring investment calculations.
  • Perpetuity Applications: Used for assets like perpetual bonds or endowments with indefinite cash flows.
  • Time Period Impact: Longer time periods reduce present value and increase future value due to compounding effects.

NISM 10A NISM Investment Adviser Level 1

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