Raman bought a car in 2020 worth ₹5.95 lakh. He made a down payment of ₹1.5 lakh and took auto loan for rest amount at 12% p.a. for four years. Then EMI (to round off value ) is :
where $(1.01)^{48}= 1.6122.$
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → 11719
The EMI for a loan,
$EMI=\frac{P×r×(1+r)^n}{(1+r)^n-1}$
$=\frac{4,45,000×0.01×(1.01)^{48}}{(1.01)^{48}-1}$
$=11719$