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Installments - class-X

Learn about installment payments, hire purchase schemes, EMI calculations, and related financial concepts including simple interest applications, down payments, and ownership transfer terms.

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Questions

Question 1 Multiple Choice (Single Answer)

What annual instalment will discharge a debt of Rs. $2710$ due in $4$ years at $7%$ simple interest?

  1. Rs. $1000$
  2. Rs. $613$
  3. Rs. $225$
  4. Rs. $150$
Question 2 Multiple Choice (Single Answer)

Under the __________ scheme, the article will not be owned by the buyer until and unless he/she has paid the complete purchasing price of the article.

  1. Interest
  2. Hire Purchase
  3. Loan
  4. Finance
Question 3 Multiple Choice (Single Answer)

What is hire purchase scheme?

  1. A method of buying goods through making instalment payments over time.
  2. A method of trading goods through making instalment payments over time.
  3. A method of buying goods through making interest payments over time.
  4. A method of buying goods through making money payments over time.
Question 4 Multiple Choice (Single Answer)

The interest scheme in which companies reduce the amount of the instalments to promote sales is called as __________.

  1. Discount Sale
  2. $100\%$ Finance
  3. $0\%$ Interest
  4. $50\%$ Finance
Question 5 Multiple Choice (Single Answer)

The instalment scheme in which companies take $4$ or $5$ instalments in advance is called as:

  1. $25\%$ Finance
  2. $75\%$ Finance
  3. $100\%$ Finance
  4. $0\%$ Interest
Question 6 Multiple Choice (Single Answer)

A man buys an iPhone $6$ for Rs. $53{,}000$. He realizes that he cannot pay such a large amount of money right now, so he decides to pay Rs. $4{,}505$ monthly for $12$ months. This amount of Rs. $4{,}505$ is called as:

  1. Simple Interest
  2. Selling Price
  3. Principal Amount
  4. Instalment
Question 7 Multiple Choice (Single Answer)

_________ allows a customer to buy a product by paying only a part of the cash price, and the remaining amount can be paid in instalments.

  1. Instalment scheme
  2. hire purchase scheme
  3. loan scheme
  4. cash scheme
Question 8 Multiple Choice (Single Answer)

Which of the following does not give a difference between a hire purchase and a normal purchase?

  1. Timing of payment for asset.
  2. Quality of asset purchased.
  3. Legal ownership of asset.
  4. Total cost of asset.
Question 9 Multiple Choice (Single Answer)

Under hire purchase system who has the right of sell

  1. hirer
  2. buyer
  3. debtor
  4. hire vendor
Question 10 Multiple Choice (Single Answer)

In which system a buyer pays for a thing in regular installments?

  1. hire purchase
  2. insurance
  3. policy
  4. interest
Question 11 Multiple Choice (Single Answer)

What is the name of the seller under hire purchase system?

  1. hirer
  2. buyer
  3. debtor
  4. hire vendor
Question 12 Multiple Choice (Single Answer)

In which system purchaser agrees to pay for goods like a instalments?

  1. cash system
  2. instalment system
  3. hire purchase system
  4. credit system
Question 13 Multiple Choice (Single Answer)

What is the name of the buyer under hire purchase system?

  1. hirer
  2. buyer
  3. debtor
  4. hire vendor
Question 14 Multiple Choice (Single Answer)

The depreciation on an asset purchased through hire purchase should be:

  1. Based on the total cost including interest
  2. Based on the cost price of the asset only
  3. Should be straight line only
  4. No depreciation should be provide until the final payment is made
Question 15 Multiple Choice (Single Answer)

When does the asset legally belong to the purchaser under a hire purchase agreement?

  1. Final instalment is paid and purchaser agrees to a legal option to buy the asset
  2. Purchaser agrees to legal option to buy the asset
  3. Final instalment is paid
  4. On date of first instalment in repayment
Question 16 Multiple Choice (Single Answer)

In hire purchase, ownership of the property is transferred to the hirer on the payment of the ______ instalment.

  1. first
  2. second
  3. third
  4. last
Question 17 Multiple Choice (Single Answer)

On the balance sheet of a company, the value of the asset bought through hire purchase will appear as:

  1. Cost less depreciation to date less amount owing on hire purchase less interest owing
  2. Cost less amounts owing on hire purchase
  3. Cost less depreciation to date less amount owing on hire purchase
  4. Cost less depreciation to date
Question 18 Multiple Choice (Single Answer)

A option to buy a thing an agreement of hiring is called

  1. cash system
  2. instalment system
  3. hire purchase system
  4. credit system
Question 19 Multiple Choice (Single Answer)

The company offers a heater whose cost price is Rs. $9400$ at a monthly E.M.I for $24$ months. The interest charged is $6%$. What is the monthly EMI to be paid by the customer?

  1. Rs. $340$
  2. Rs. $512$
  3. Rs. $439$
  4. Rs. $604$
Question 20 Multiple Choice (Single Answer)

Following are the details for purchasing a mobile phone:
Selling Price $=$ Rs. $15,600$
Initial Payment $=25%$
Rate of Interest $= 10%$
Processing Fee $=2%$
Period $=12$ months
Calculate the total amount (in Rs.) that will be paid by the customer for the mobile phone.

  1. $15600$
  2. $17082$
  3. $16390$
  4. $16770$
Question 21 Multiple Choice (Single Answer)

The hirer pays an initial payment known as

  1. individual payment
  2. up payment
  3. down payment
  4. install payment
Question 22 Multiple Choice (Single Answer)

The cost of a TV is Rs. $36{,}000$. Manoj decides to pay it in $8$ instalments at $12%$ simple interest p.a. Calculate his monthly E.M.I and the total amount paid by him.

  1. Rs. $5{,}040$, Rs. $40{,}320$
  2. Rs. $3{,}240$, Rs. $40{,}320$
  3. Rs. $3{,}240$, Rs. $38{,}880$
  4. Rs. $4{,}860$, Rs. $38{,}880$
Question 23 Multiple Choice (Single Answer)
Volkswagen decides to sell its best-selling car under following different schemes:

Scheme Selling Price InitialPayment ProcessingFee Rate ofInterest Duration
$80%$ Finance Rs. $4{,}00{,}000$ $20%$ $0.5%$ $10%$ $2$ years
$100%$ Finance Rs. $4{,}00{,}000$ $0%$ $1%$ $12.5%$ $1$ years
$0%$ Interest Rs. $4{,}00{,}000$ $3$ EMIsin advance $1%$ $0%$ $2$ years

What is the total amount that need to be paid in the $100\%$ Finance Scheme?
  1. Rs. $4{,}34{,}000$
  2. Rs. $4{,}67{,}000$
  3. Rs. $4{,}54{,}000$
  4. Rs. $4{,}27{,}000$
Question 24 Multiple Choice (Single Answer)

Ramu buys a watch whose cost is Rs. $9{,}000$. He decides to pay Rs. $825$ monthly for a period of $12$ months. Calculate the rate of interest charged.

  1. $12\%$
  2. $5\%$
  3. $10\%$
  4. $15\%$
Question 25 Multiple Choice (Single Answer)

Meena decides to buy a laptop by paying Rs. $2600$ at $12%$ simple interest p.a. for $24$ months. The company charges a processing fee of $1%$ for this scheme. Calculate the selling price of the laptop.

  1. Rs. $45{,}882$
  2. Rs. $39{,}264$
  3. Rs. $48{,}629$
  4. Rs. $42{,}162$

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