Mr. Pramod Jain (age 40 years) has life interest in a Trust property.
The annual income from Trust property for last three years is as under:
The Trust has spent Rs. 5,000/- per year for collection of the income. The value of life interest of Re 1/- at the age of 40 is Rs. 10.093/-. The value of the property on the valuation date is Rs. 5 lakh. Find the value of life interest.
A . Rs. 3.84 lakh
B . Rs. 3 lakh
C . Rs. 3.27 lakh
D . Rs. 5 lakh
Answer: A