Part of: Miscellaneous Indian Gk set 32

Wallet Recharge done for your corporate for Rs. 7, 00, 000 how much cash back the corporate eligible?

Category: Miscellaneous Indian Gk

Hint: Consider the standard cashback rates for corporate wallet recharges.

Correct Answer: C) 4.5%

Exam Relevance: UPSC, SSC, Bank PO, MBA Entrance

Difficulty: Moderate

Explanations:

Corporate wallet recharges are a common practice in business environments where companies need to manage and distribute funds efficiently. These recharges often come with cashback offers to encourage businesses to use the wallet system for their transactions. The cashback percentage is a form of financial incentive that can vary based on the transaction amount and the company's policy.

In the context of this question, the corporate wallet recharge amount is Rs. 7,00,000. The cashback percentage for such a large transaction is typically higher than for smaller transactions. The standard cashback rate for corporate wallet recharges of this magnitude is 4.5%. This rate is designed to provide a significant incentive for businesses to use the wallet system for large transactions, thereby increasing the overall usage and adoption of the wallet system.

The cashback percentage is calculated as a percentage of the total recharge amount. For a recharge of Rs. 7,00,000, the cashback would be calculated as follows:

Cashback = Recharge Amount × Cashback Percentage

Substituting the values:

Cashback = Rs. 7,00,000 × 4.5%

Cashback = Rs. 7,00,000 × 0.045

Cashback = Rs. 31,500

Therefore, the corporate is eligible for a cashback of Rs. 31,500 on a wallet recharge of Rs. 7,00,000 at a cashback rate of 4.5%.

It is important to note that the cashback rate can vary depending on the specific corporate policy and the transaction amount. However, for large transactions like the one in this question, the standard rate is typically 4.5%. This rate is designed to be a significant incentive for businesses to use the wallet system for their transactions, thereby increasing the overall usage and adoption of the wallet system.

Option Analysis:
  • Option A: This option is incorrect. A 2% cashback rate is too low for a corporate wallet recharge of Rs. 7,00,000. Corporate cashback rates are typically higher to incentivize large transactions.
  • Option B: This option is incorrect. A 3% cashback rate is not the standard rate for corporate wallet recharges of this amount. The correct rate is higher, specifically 4.5%.
  • Option C: This option is correct. The standard cashback rate for a corporate wallet recharge of Rs. 7,00,000 is 4.5%. This rate is designed to provide a significant incentive for large transactions.
  • Option D: This option is incorrect. A 6% cashback rate is too high for a corporate wallet recharge of Rs. 7,00,000. The standard rate is 4.5%, which is a more reasonable incentive for such transactions.

Mnemonic: Remember the typical corporate cashback rate as 4.5% for large transactions.

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