A sum of Rs. 43000 was borrowed at 15% p.a. compound interest. It was returned in two equal installments. Find amount of each installment.
Answer & explanation
Correct answer: option 2
15% = \(\frac{3}{20}\)
Principal : Installment
1st ⇒ 20 : 23
2nd ⇒ 400 : 529
* Installment amount for each year should be same*
Therefore,
Principal : Installment
1st ⇒ 20 : 23 ) × 23
2nd ⇒ 400 : 529 ) × 1
Principal : Installment
1st ⇒ 460 : 529
2nd ⇒ 400 : 529
Sum ⇒ 860 : 529 (Each Installment)
↓ ↓
×50 ×50
↓ ↓
43000(given) 26450