1.

A loan of Rs 12300 at 5% per annum compound interest, is to be repaid in two equal annual installments at the end of every year. Find the amount of each installment.

Answer» `P = 12300``R = 5%``SI = (P*R*T)/100``rArr (12300*5*1)/100 = Rs. 615`Let first installment be `Rs. x`After 1 year total amount `= 12300 + 615 = 12915`Remaining `= 12915 - x`, which is principal for next year.`SI = ((12915-x)*5*1)/100 = (12915-x)/20``2x = (12915-x)/20 + 12915``rArr 40x = 12915 - x + 20*12915``rArr 41x = 12915*(1+20)``rArr x= (12915*21)/41``rArr x = 6615`So, each installment is of `Rs. 6,615`


Discussion

No Comment Found

Related InterviewSolutions