The amount installment will discharge a debt of rs 3220 due in 4 year at 10% simple interest

Answer

Verified

Hint – In this question use the concept that the ultimate amount that is to be paid by 3 years to clear off the debt will be the addition of the principal amount that is 1092 and the simple interest computed for 3 years. So let annual installments per year be some x rupees so for 3 years this installments will amount to 3x rupees. Thus use the direct formula for simple interest that is $SI = \dfrac{{P \times R \times T}}{{100}}$. This will help getting the answer.

Complete step-by-step answer:

As we know in simple interest, the interest is not added in the principle amount during the years.So the amount (A) has to be paid = 1092 as the principal amount + simple interest of the three years.Let the annual installments per year be X Rs.So we had to pay 3X annual installments in three years.Therefore,1092 as the principal amount + simple interest of the three years = 3X.......... (1)Now the rate of interest is given = 12%As we know simple interest is calculated as (S.I) = $\dfrac{{p \times r \times t}}{{100}}$Where p = principle amount, r = rate of interest and t = time in years.So during the first year simple interest is $S.{I_1} = \dfrac{{1092 \times 12 \times 1}}{{100}} = 131.04$ Rs.Now in second year the principle remains = (1092 – X)So during second year simple interest is $S.{I_2} = \dfrac{{\left( {1092 - X} \right) \times 12 \times 1}}{{100}} = 131.04 - 0.12X$ Rs.Now in final year i.e. in third year the principle remains = (1092 – 2X)So during third year simple interest is $S.{I_2} = \dfrac{{\left( {1092 - 2X} \right) \times 12 \times 1}}{{100}} = 131.04 - 0.24X$ Rs.Now from equation (1) we have,$ \Rightarrow 1092 + 131.04 + 131.04 - 0.12X + 131.04 - 0.24X = 3X$Now simplify this equation we have,\[ \Rightarrow 1092 + 3\left( {131.04} \right) - 0.36X = 3X\]$ \Rightarrow 3.36X = 1092 + 393.12 = 1485.12$$ \Rightarrow X = \dfrac{{1485.12}}{{3.36}} = 442$ Rs.So this is the required annual installment we have to pay that will discharge a debt of Rs.1092.Hence option (C) is the required answer.Note – There is a bit of confusion regarding the difference between simple interest and compound interest. A simple interest is based upon the principal amount of a loan, whereas a compound interest is the principal amount and in addition to the interest that accumulates over it on every period of loan duration tenure.

SSC CPO Tentative Answer Key for the SSC CPO Exam held from 9th to 11th November 2022 has been released. Candidates can raise objections against the answer key from 16th to 20th November 2022 against a fee of INR. 100 per question. SSC CPO Admit Card Link for CR, NER, MPR Region & Application Status for CR, WR, NR, NER, ER, MPR, KKR, SR Regions active! The Staff Selection Commission had released the exam date for Paper I of the SSC CPO 2022. As per the notice, Paper I of the SSC CPO is scheduled to be held from 9th November to 11th November 2022. The candidates can check out the SSC CPO Exam Analysis to check the difficulty level and good attempts for each shift exam.

DownloadApp

Home » Aptitude » Simple interest » Question

The amount instalment will discharge on debit of Rs 3220 due in 4 year at 10 % simple interest?

1. 500
2. 600
3. 700
4. None of these

Let the amount instalment be Rs ' x 'Then According to question, (Amount of 'x' for 3 yrs) + (Amount of 'x' for 2 yrs) + (Amount of 'x' for 1 yrs) + x =3220or, [x+(x × 10 × 3)/100] + [x+(x × 10 × 2)/100] + [x+(x × 10 × 1)/100] + x=3220⇒ 4x+ (30x/100)+(20x/100)+(10x/100)=3220⇒ 460x=322000⇒ x=Rs 700

∴ Each Instalment= Rs 700