Multiple choice

What will be the annual installment to discharge a debt of Rs. 58000 at the rate of 8% simple interest in a period of 5 years? 58000 रू. का कर्ज 8% साधारण व्याज की दर से 5 वर्ष में चुकाने के लिए वार्षिक किश्त क्या होगी?

  1. 10000

  2. 9500

  3. 10500

  4. 11200

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

For equal annual installments with simple interest: Each installment of Rs. X is paid at year-end. The first installment (at end of year 1) earns interest for 4 more years, so its contribution = X + X×8%×4 = 1.32X. Similarly: 2nd: 1.24X, 3rd: 1.16X, 4th: 1.08X, 5th: X. Total = 5X + 8%×X×(4+3+2+1+0) = 5X + 0.08X×10 = 5.8X = Rs. 58000. So X = 58000/5.8 = Rs. 10000. Option A is correct. Options B (9500), C (10500), and D (11200) don't satisfy the equation.