Case Study: Ms. Irawati Senna (Reference Date: 20 th March 2010) Ms. Irawati Senna, aged 42 years, having twins Rishi and Sonali of age 12 years, is an Executive Director in a private bank based in Mumbai. She has been recently divorced by industrialist Mr. Chiranjib Bajaj. The court judgment has given Irawati the custody of children and a maintenance compensation of Rs. 17,726,500, of which a sum of Rs. 75 lakh per child has to be dedicatedly used for education and professional development through separately monitored bank accounts. Irawati has no residence of her own. She is currently residing in a rented house. Both her children study in the 6 th Standard in an International School. She has approached you, a CFP CM practitioner, for preparing a financial plan for her family. She has shared the following financial information with you: Financial Assets: Equity Mutual Fund portfolio : 26.47 Balanced MF scheme investment : 9.78 Demat Account - listed equity shares 1 : 25.92 Demat Account - Nifty ETF units 2 : 3.27 Demat Account - Gold ETF units 3 : 3.13 PPF A/c. (maturing 1 st April 2016) 4 : 6.59 Current Market Value (Rs. lakh) 1 Total cost Rs. 15 lakh. Last purchase made in May, 2008. 2 Invested Rs. 65,000 a year ago. 3 Invested Rs. 1.86 lakh three years ago in the NFO of Gold ETF. 4 Balance as on 31 st March 2009 and Rs. 70,000 contributed on 25 th April 2009 Deposits: Current Balances (Rs. lakh) Bank Salary Account : 2.82 Bank Account Rishi : 75.00 Bank account Sonali : 75.00 Bank account Irawati : 27.26 Deposit with landlord : 3.00 Other Assets: Current Disposable Value (Rs. lakh) Gold & Diamond Jewellery : 15.75 Physical Gold (coins/bars) : 11.25 Car : 7.50 Liabilities: Currently Outstanding (Rs. lakh) Car loan : 6.41 Credit Cards : 0.72 Salary Income: Annual (Rs. lakh) Basic Salary : 36.00 HRA : 6.00 Conveyance Allowance : 1.50 Variable Salary : 7.50 Regular Outgoings: Monthly (Rs.) Basic Household Expenses : 47,000 Services availed : 12,500 School Fees : 25,000 House Rent : 50,000 1
Power, Telecom & Fuel : 12,500 Car Loan EMI : 22,654 Cash outflows: Annual (Rs.) Insurance Premium (Term Plan) 5 : 58,759 Health Insurance Premium 6 : 27,631 5 (Annual 3 policies/ Total Cover Rs. 1.45 crore) 6 (Annual 2 policies/ Total cover Rs. 20 lakh) You, in consultation with Irawati, have crystallized the following financial goals for her family and the preliminary Roadmap to achieve them: 1. Send both the Children to a Boarding School Immediately Outlay Rs. 4.80 lakh per child per annum for 6 years To be met on year to year basis by investing a suitable corpus today. 2. Buy a house within one year Outlay of Rs. 75 lakh Take a loan for 15-year term. 3. Send both Children for Higher Education abroad After 6 years Outlay (estimated) Rs. 1.20 crore then for each child for 5 years To be met by suitably investing the dedicated amounts received out of divorce settlement in an investment vehicle to accumulate the desired Corpus in 6 years. 4. Retirement Corpus To be accumulated in 18 years Corpus to sustain an annuity of Rs. 1.6 lakh per month (in the first month post-retirement) and thereafter inflation adjusted for 25 years post-retirement To be met by suitably investing divorce proceeds (reserved for her) as well as linking all her mutual fund scheme holdings. 5. A World Tour for 3 months with both her kids when she attains 53 years of age Outlay of Rs. 20 lakh at current prices To be met out of her PPF A/c maturity, given that she would contribute maximum permissible amount annually on the 1 st working day of April till its due maturity as well as in all years during its first extension. The cost of escalation of such expenses is assumed at 6% p.a. 6. A suitable Estate Planning to cover all her physical and financial assets. Assumptions regarding long-term pre-tax returns on various asset classes: 1. Equity & Equity MF schemes/ Index ETFs : 11.00% p.a. 2. Balanced MF schemes : 9.00% p.a. 3. Bonds/Govt. Securities/Debt MF schemes : 7.00% p.a. 4. Liquid MF schemes : 5.50% p.a. 5. Gold & Gold ETF : 7.50% p.a. Assumptions regarding economic factors: 1. Inflation : 5.50% p.a. 2. Expected return in Risk free instruments : 6.50% p.a. 3. Real Estate appreciation : 8.00% p.a. 2
Questions: 1) Irawati believes that a CERTIFIED FINANCIAL PLANNER CM practitioner is able to take care of the execution of all aspects of her Financial Plan, i.e. Taxation, Insurance, Investments, etc. As per FPSB India Code of Ethics, what is the best proposition in this context? (2) A) This is the right assumption which can be made about all CERTIFIED FINANCIAL PLANNER CM professionals. B) The scope and limitations of the services of the CERTIFIED FINANCIAL PLANNER CM practitioner needs to be disclosed in the beginning, specifically in writing, by the practitioner to the client. C) A CERTIFIED FINANCIAL PLANNER CM practitioner can never take care of all aspects of a Financial Plan. D) A CERTIFIED FINANCIAL PLANNER CM practitioner is concerned with only making a Financial Plan and not its execution. 2) Recently a nationalized bank announced a nominal interest rate of 9.00% per annum on 600-day bank FDR (compounding quarterly). Irawati wants to invest in this product and seeks your advice. You compute the pre-tax real rate of return to assess the viability of this product. The same is: (2) A) 3.61% p.a B) 3.32% p.a C) 3.81% p.a D) 3.50% p.a 3) Irawati plans to pay off her loan after paying 5 more installments. She took a loan of Rs. 749,750 for 40 months at 11.5% p.a. on reducing monthly balance basis in August, 2009. The first EMI was paid on 1 st September 2009 and thereafter on every 1 st of the month. Prepayment of car loan would attract a penalty of 4% on the outstanding liability. What amount is required to prepay the loan with penalty?(please ignore any other charges and taxes if applicable) (4) A) Rs. 5,58,142 B) Rs. 5,54,020 C) Rs. 5,94,048 D) Rs. 5,76,181 4) Irawati told you that her ex-husband had purchased a life insurance policy under the MWP Act, 1874 prior to their divorce. The beneficiaries of the policy are Irawati and their two children. Irawati wants to know the significance and the benefits of this policy. 1) No alterations can be made by the husband once the policy is commenced 2) The proceeds of such a policy cannot be claimed by the husband or his creditors or form part of the husband s estate 3) Alterations can be made by the wife once the policy is effected 4) The life assured is the wife (2) A) 1, 2, 4 B) 1, 2 C) 2 D) 1, 4 5) Irawati wants to know the importance of waiver of premium rider? You tell her that. (2) A) It is useless as there will not be any amount to be received from the Insurance Company at the time of maturity of the policy 3
B) It is very useful as all future premiums would be waived by the Insurance Company in case the Life Assured becomes totally and permanently disabled C) It is same as Permanent Disablement rider hence need not be mentioned separately D) It is inbuilt with all the Term Insurance plans and thus need not be mentioned separately 6) Irawati proposes to invest in an upcoming housing project in suburban Mumbai for a flat worth Rs. 7,500,000 today. She proposes to make the down payment of Rs. 500,000 immediately. The balance amount is to be paid in installments to the builder, 15% of the balance amount on 1 st April 2010, 30% on 1 st September 2010, 30% on 1 st December 2010 and balance on 1 st April 2011. In the meanwhile, she has researched on the various housing loan schemes offered by banks. She has finalised on one of the Banks that provides the loan at fixed interest of 10.5% p.a. disbursable as per time schedule agreed with the builder. The tenure of the loan is 15 years from the date of disbursement of first installment and she pays the first EMI on 1 st May 2010. She wants to know, what would be final EMI payable after the full disbursement of loan amount? (4) A) Rs. 84,301 B) Rs. 78,740 C) Rs. 78,681 D) Rs. 77,377 7) Irawati wants to invest for her retirement corpus as per her goal. In this connection, you suggest her to transfer her share of divorce settlement to a suitable liquid fund and also utilize her current holding in Equity Mutual Fund scheme and Balanced Mutual Fund scheme, while investing every month to the extent of Rs. 30,000 in Equity scheme and Rs. 10,000 in Balanced MF scheme from the liquid fund from today. After this arrangement is over, the money invested would continue to appreciate in these separate schemes till her proposed retirement and the combined corpus is expected to suffer a tax incidence of 4%. She wants to know, how long post-retirement this corpus would sustain to give her the desired annuity, if the same is invested in risk free instruments (Consider tax on capital gains applicable for monthly withdrawals from liquid funds is paid separately by Irawati) (5) A) Approx 20 years B) Approx 21 years C) Approx 19 years D) Approx 18 years 8) Irawati also wants to know what would be the additional investment yield, over and above risk-free return required for the retirement corpus of Rs. 3.4 crore to sustain till her proposed post-retirement period while providing her an inflation-linked monthly annuity of Rs. 1.6 lakh. (3) A) 8.66% p.a. B) 2.16% p.a. C) 3.19% p.a. D) 2.99% p.a. 9) Irawati had earlier received calls from certain institutions offering free services of Financial Planning through their Financial Planners by subscribing to their financial products and services. She asks you the features of CERTIFIED FINANCIAL PLANNER CM practitioner that distinguishes you from other financial planners. You tell her that (I) CFP CM practitioner has to go through an internationally accepted curriculum framework and meet the given competency profile (II) A CFP CM practitioner, once certified can follow any institution s guidelines of Financial Planning without any recourse to FPSB India 4
(III) CFP CM practitioner has to meet stringent initial certification standards and continuing education to remain certified (IV) CFP CM practitioner has to abide by FPSB India s Code of Ethics and professional guidelines (V) A CFP CM certificant has to necessarily do a fee-based Financial Planning Which of the above are correct? (2) A) (II) and (V) only B) (I),(III) and (IV) only C) (I) and (II) only D) (I) and (IV) only 10) Irawati wants to go on a world tour with her children when she attains 53 years of age. The funds will be met out of proceeds received from her PPF A/c. after extension for a term of 5 years. What will be the shortfall in funds for her proposed goal? (4) A) Rs. 7.52 lakh B) Rs. 7.03 lakh C) Rs. 5.11 lakh D) Rs. 8.79 lakh 11) Irawati wants to know the total amount to be invested for her children s boarding school education. She intends to meet the admission fees and first year charges by selling Gold coins/ bars. The cost of boarding school would escalate @6% p.a. You advice to use the money invested in equity shares, Gold ETF and Nifty ETF and put the net of tax proceeds in a Nifty Index MF scheme immediately. What money per month she should invest in the same Index Fund till she makes the payment of admission fees of second year to achieve the goal. (Ignore applicable education cess) (5) A) Rs. 83,621 B) Rs. 84,731 C) Rs. 87,020 D) Rs. 76,377 12) Irawati wishes to utilize the combined dedicated funds for her children s education, received as divorce settlement, for their higher education abroad. She wants to take Equity risk selectively to accumulate the desired sums when due. You advise her to invest Rs. 30 lakh in Nifty Index fund of a Mutual Fund immediately and invest the remaining in a Fixed Maturity Plan (FMP) of Mutual Funds of 1 year tenure. Currently, the approximate post-tax yield in the dividend reinvestment option of such plans is 6.75%. You suggest her to shift an amount of Rs. 30 lakh from FMP to Nifty Index Fund in the 2 nd Year as well as in the 3 rd year. However, an amount of Rs. 30 lakh is shifted back from Nifty Index Fund to FMP in the 4 th year as well as in the 5 th year. In the 6 th year, the entire amount is invested only in FMP. You estimate, considering a steady performance in these asset classes during the period, excess/ shortfall in meeting the goal. You find the same as. (5) A) Shortfall Rs. 18 lakh B) Shortfall Rs. 1 lakh C) Shortfall Rs. 16 lakh D) Shortfall Rs. 4 lakh 13) Irawati wants to create a private trust in the name of her children. According to you, which of the following are true in case of a private trust (I) A trustee shall be any known person capable of holding property (II) A trust has to be declared by a non testamentary instrument in writing, signed and registered or by the will of the author of the trust or of the trustee in case of an immovable property 5
(III) A trustee would be taxed in his hands in a representative capacity where the beneficiary is a minor, lunatic or idiot or specifically entitled to receive the income from the trust (IV) The author of the trust can be the trustee himself (2) A) (III) and (IV) B) (II) and (III) C) (II),(III) and (IV) D) (I),(II) and (IV) 14) Irawati wants to invest in NSC after 6 months in the name of Rishi and Sonali. She wants to know the taxability of interest accrued and the maturity amount on NSC. (Assume tax provisions of FY 2009-10 would prevail) (3) A) Will not be taxed they as they are minors B) Would be clubbed with Irawati s income in the year in which interest accrues and would be eligible to deduction under section 80C, the maturity amount would be exempt from tax C) Would be clubbed with Irawati s income in the year in which interest accrues and would not be eligible for deduction under section 80C, the maturity amount would be exempt from tax D) The children would taxed on interest earned at the time of maturity of NSC 15) Irawati wants to know her tax liability on income from capital gains for the financial year 2009-10 if she sells her entire listed equity shares, Nifty ETF and Gold ETF. Additionally, she also sells gold coins amounting to Rs. 200,000. The Gold coins were gifted to Irawati on the occasion of her marriage on 26 December 1993. The cost of such Gold coins was Rs. 45,250 at the time of purchase. (C.I.I: 1992-93 : 223, 1993-94 : 244, 2000-01 : 406, 1999-00 : 389, 2009-10 : 632) (Ignore education cess) (5) A) Rs. 41,275 B) Rs. 29,259 C) Rs. 28,575 D) Rs. 44,450 6
Case: Ravi Mohan (Reference date: 20 th March, 2010) Ravi Mohan, aged 29 years, working with a Life Insurance company since December 2004, has approached you for preparing his Financial Plan. He is staying in his own house at Surat. His wife Abhilasha, aged 28 years, is in the small business of manufacturing garments from which she has earned a net profit of Rs. 3 Lakh in FY 2008-09.The couple has a son, Akhil of age one year. The couple plans no further kid in future. Ravi is also supporting his parents staying in Valsad to whom he sends Rs. 9,000 p.m. His monthly house hold expenses are Rs. 20,000 p.m. apart from payment of insurance premium and loan EMI. Ravi expects 5% increase in his gross salary year on year in the beginning of financial year. Ravi Mohan s monthly salary 1. Basic Salary Rs. 36,000^ 2. D. A (forming part of Salary) 50% of basic salary 3. House Rent allowance Rs. 10,000 3. Transport Allowance Rs. 3,000 4. Children Education Allowance Rs.1,000 per child 6. Medical Reimbursement Rs. 4,000 7. Entertainment Allowance Rs. 3,000 ^ 12% of Basic is contributed towards Employees Provident Fund Couple s Current Assets & Liabilities (as on date unless otherwise specified in the footnotes) House : Rs.30.00 lakh Car : Rs. 3.50 lakh Cash/Bank Balance : Rs. 0.75 lakh PPF Account 1 : Rs. 0.90 lakh Children Plan from a life insurer 2 : Rs. 2.50 lakh (Sum Assured) Money Back life insurance policy 3 : Rs. 2.00 lakh (Sum Assured) ULIP policy : Rs. 3.00 lakh (Premium Paid) Medical insurance 4 : Rs. 5.00 lakh (Sum Assured) Gold ornaments : Rs. 8.50 lakh Equity Mutual Fund scheme : Rs. 2.85 lakh Balanced Mutual Fund scheme : Rs. 1.25 lakh Shares of XYZ Ltd. 5 : Rs. 0.95 lakh Equity Linked Saving Scheme : Rs. 1.75 lakh National Saving Certificate : Rs. 0.30 lakh (principal amount) 1 Balance on 31 st March, 2009, Account matures on 1 st April, 2017) 2 for which he pays premium of Rs. 26,821 3 for which he pays premium of Rs. 14,000 4 for which he pays a premium of Rs. 15,000 per annum 5 10,000 Shares of face value Rs. 10.00 per share Liabilities Home loan 6 : Rs. 6.00 lakh (Principal amount) Car Loan 7 : Rs. 4.00 lakh(principal amount) 7
6 Home loan of Rs. 6 Lakh taken on 1 st August, 2006 at a fixed interest of 8.5% p.a., for a 20-year term. 7 Car loan of Rs. 4 Lakh taken on 1 st April, 2008 at a fixed interest of 11.25% p.a. for a 5-year term. Goals To provide for higher education of Akhil. Expenses of Rs. 2.5 lakh p.a. (current cost) for three years of Graduation starting at the age of 18 years, Rs. 5 lakh p.a. (current cost) for two years of postgraduation thereafter. Marriage expenses of Rs. 15 lakh (current cost) four years after completing post graduation. Build a retirement corpus to start an annuity from Ravi s age of 60 years onwards A Bigger house valued at Rs. 30 lakh today in the next 6 years To build a separate fund for vacation expenses Rs.50,000 every year for the next 10 years Life Parameters Ravi s expected life : 75 years Abhilasha s expected life : 80 years Assumptions regarding long-term pre-tax returns on various asset classes: 1. Equity & Equity MF schemes /Index ETFs : 11.00% p.a. 2. Balanced MF schemes : 9.00% p.a. 3. Bonds/Govt. Securities/Debt MF schemes : 7.00% p.a. 4. Liquid MF schemes : 5.50% p.a. 5. Gold & Gold ETF : 7.50% p.a. Assumptions regarding economic factors: 1. Inflation : 5.50% p.a. 2. Risk free rate : 6.50% p.a. 3. Real Estate appreciation : 8.00% p.a. 8
Questions 16) Before beginning work on Ravi s Financial Plan, you have drafted a Letter of Engagement and sought Ravi s consent on the same. Ravi asked you about relevance of such a letter. In the context of Financial Planning profession, you explain about the Letter of Engagement as a. (2) A) professional requirement under Code of Ethics of FPSB India B) professional requirement under Practice Guidelines of FPSB India C) necessary legal requirement as per Contract Act 1872 D) document for his personal record 17) Ravi intends to build a retirement corpus through the Balanced Mutual Fund scheme in which he is already investing since October, 2008 an amount of Rs. 5,000 p.m. on 1 st of every month by way of a Systematic Investment Plan (SIP). The SIP would continue till September, 2013. He plans to increase the SIP amount to Rs. 7,500 p.m. from 1 st October, 2013 in the same scheme till his age of 55 years, but investment is retained up to 59 years. You estimate the sufficiency of corpus so accumulated at age 59 considering that they would require 70% of pre-retirement house hold expenses from Ravi s age of 60 onwards in a monthly mode and inflation-linked till Abhilasha s life span. You consider 10% capital gains tax on the corpus to be accumulated and estimate excess/shortfall of corpus at Ravi s age of 59, when the same in withdrawn and invested in an investment instrument yielding 6.5% p.a. post-tax. The same comes to. (5) A) Rs. 40 lakh, shortfall B) Rs. 50 lakh, shortfall C) Rs. 73 lakh, shortfall D) Rs. 33 lakh, shortfall 18) The construction of Ravi s house was completed on 1 st April 2008. He started paying EMIs after that, the first EMI was paid on 1 st May 2008. Prior to 31 st March 2008, Ravi paid only the interest on his loan which was disbursed in full by the bank on 1 st Aug 2006, when the construction started. He wants to know the interest portion allowable as deduction under section 24 of the Income Tax Act for the AY 2010-11. (4) A) Rs. 49,487 B) Rs. 66,195 C) Rs. 67,542 D) Rs. 1,50,000 19) Ravi purchased 7,000 units of an Equity Mutual Fund scheme @Rs. 50 per unit on 2 nd April, 2009. The scheme declared a dividend of Rs. 10 per unit, the record date for the dividend was 15 th June, 2009. Ravi sold 1,000 units on 5 th March, 2010 at Rs. 46 per unit. He wants to know the amount of short term capital loss he can claim in AY 2010-11? (3) A) He gets short Term Capital Gains of Rs. 14,000 B) He gets Short Term Capital Gains of Rs. 6,000 C) He can claim Short Term Capital Loss of Rs. 4,000 D) He cannot claim any Short Term Loss for Tax computation 20) Ravi, who is a Hindu, wants to know according to which Act his father s estate would be distributed in case he dies Intestate. (2) A) Hindu Succession Act, 1956 B) Indian Contract Act C) Indian Succession Act, 1925 9
D) Transfer of Property Act 21) For the purpose of his child s education and marriage, Ravi wants to start investing immediately on a monthly basis in a Balanced MF scheme so as to withdraw for the first time at his son s age of 18 years. The monthly investments will continue till Akhil completes his graduation. What amount should he invest every month to achieve the same? (Please ignore fraction of the year for calculation and also ignore charges and taxes if applicable) (5) A) Rs. 13,685 B) Rs. 13,871 C) Rs. 14,421 D) Rs. 12,450 22) Ravi wants to invest Rs. 2 Lakh in 390 days Bank fixed deposit yielding 9% p.a., which also attracts tax on such interest @30%. From Tax Planning perspective, you advise him to invest a fixed sum into the Growth option of a Fixed Maturity Plan (FMP) of a Mutual Fund, more than one year term, and expected to yield same pre-tax return as the Bank fixed deposit. Ravi wants to know the tax advantage to him, if investment is done in the FMP of Mutual Fund vis-à-vis the Bank fixed deposit. (Please ignore cess, and assume Income Tax provisions of AY 2010-11 are applicable) (3) A) Tax advantage to the extent of 20.00% is possible on income/gains. B) Tax advantage to the extent of 10.00% is possible on income/gains. C) Tax advantage to the extent of 12.50% is possible on income/gains. D) There is no apparent Tax advantage in FMP vis-à-vis the Bank fixed deposit. 23) Ravi wants to know what the most appropriate instrument is/are to replicate exactly the equity market returns over a sufficiently long period with the least cost and risks. (i) Diversified Growth schemes of Mutual Funds (ii) Equity Index Funds (iii) Growth Option of ULIPs (iv) Exchange Traded Funds of Equity Indices (v) A portfolio of Large Capitalized stocks (3) A) (i) and (ii) B) (ii) and (iv) C) (i) and (iii) D) (iv) and (v) 24) Ravi saw the acronym CFP CM against your name in your business card. He wants to know about the same. You tell him that. (3) A) CFP marks are owned outside the US by US based FPSB Ltd B) FPSB India is the owner of CFP marks within Indian territory C) The US based FPSB Ltd. is licensed globally to administer CFP marks D) The US based FPSB Ltd. and FPSB India are respectively licensed to issue CFP certification in US and India 25) Ravi invested in shares of XYZ ltd on 12 th October 2006 Rs. 3.50 below its Face Value. He received dividends of Rs. 0.30 per share, Rs. 0.50 per share on 8 th December 2007 and 30 th November 2008 respectively. If he sells the entire holding of shares at the prevailing market price, what returns would he have got from this transaction? (3) A) 15.01% p.a. B) 17.40% p.a. 10
C) 11.54% p.a. D) 16.60% p.a. 26) Ravi has been receiving job offers from competing Life Insurance companies and plans to resign from the present company by the begin of April 2010. Ravi wants to know whether he is eligible for Gratuity under the Payment of Gratuity Act, 1972 and what shall be the Gratuity payable in his case? (Assume his present organization is covered under Payment of Gratuity Act, 1972) (3) A) No, he is not eligible for Gratuity B) Yes, Rs. 1,55,770 C) Yes, Rs. 1,03,850 D) Yes, Rs. 3,50,000 27) Ravi plans to invest regularly from FY 2010-11 on a quarterly basis an amount of Rs. 3,000 in his PPF A/c till its maturity. The amounts are proposed to be invested in the first five days of April, July, October and January every year. For FY 2009-10, he would invest Rs. 3,000 before the end of the financial year. Ravi wants to know the approximate maturity amount of his PPF A/c. The same would be. (3) A) Rs. 2.84 lakh B) Rs. 2.79 lakh C) Rs. 2.87 lakh D) Rs. 2.73 lakh 28) Ravi wants to make a Will and understand its procedures; you explained that the is the person responsible for offering the Will for probate. (2) A) Testator B) Executor C) Lawyer D) Beneficiary 29) Ravi wants to know how much approximately he should be covered with life insurance, if he wants to provide Abhilasha throughout her life time an amount equal to 80% of their present household expenses inflation linked. Assume that the proceeds of such claim would be invested in a risk free investment by her. (Please ignore taxes and charges if applicable) (4) A) Rs. 125 Lakh B) Rs. 80 Lakh C) Rs. 30 Lakh D) Rs. 90 Lakh 30) Ravi wants to know his Income tax liability on his Salary Income for the Financial Year 2009-10. (Assume he is eligible for deduction u/s 24 to the extent of Rs. 60,000 and he has no other taxable Income in financial year 2009-10) (5) A) Rs. 1,17,170 B) Rs. 1,13,760 C) Rs. 1,21,810 D) Rs. 1,04,810 11