A person borrowed ₹2,000 at 5% annual simple interest repayable in 3 equal annual installments. What will be the annual installment?

₹$730\frac{10}{63}$

Let equal installment = 100 Rs

Rate=5 %

Payable amount in First year=Principal  = Rs 100 

Payable amount in second year = Principal + Interest

                                              = 100 + 5% of 100

                                              = 100 + 5

                                             = Rs 105

Payable amount in third year = Principal + Interest

                                          = 100 + 10 % of 100

                                          = 100 + 10

                                          = Rs 110

Payable amount after 3 years = 100 + 105 + 110 = 315

ATQ

315 unit = Rs. 2300

1 unit = \(\frac{2300}{315}\)

100 unit = \(\frac{2300}{315}\) × 100 = \(\frac{230000}{315}\)

            = 730 \(\frac{10}{63}\)