What annual installment will discharge a debt of total amount ₹2300 in 4 years at 10% simple interest ?
Answer & explanation
Correct answer: option 3
Let each installment be x, then
⇒ x + {x + \(\frac{x × 10 × 1}{100}\)} + {x + \(\frac{x × 10 × 2}{100}\)} + {x + \(\frac{x × 10 × 3}{100}\)} = 2300
⇒ \(\frac{1x}{10}\) + \(\frac{2x}{10}\) + \(\frac{3x}{10}\) + 4x = 2300
⇒ \(\frac{46x}{10}\) = 2300
⇒ x = 500