Ram took a loan ₹3,60,000 from a bank at the rate of 16% p.a. for 4 years. His EMI, using flat rate method is :

₹12,300

The correct answer is Option (2) → ₹12,300

Using flat rate method,

$\text{EMI}=\frac{\text{Principal+Total interest}}{\text{Number of months}}$

$=\frac{3,60,000+3,60,000×\frac{16}{100}×4}{48}$

$=\frac{3,60,000+2,30,400}{48}$

$=\frac{5,90,400}{48}$

$=₹12,300$