Question

35.
A man borrows 6,500 to be paid back with
compound interest at the rate of 8% per
annum by the end of 2 years in two equal
yearly installments. How much will each
installment be?
(a) 3,675 (b) 3,645
(c) 3,965 (d) 3,550
(e) *3,735​

Answer 1

Answer:

3645

Step-by-step explanation:

let each installment will be 'Rs x '

x + x ( 1 + 8/100)^1 =6500(1+ 8/100)^2

2.08x = 7581.6 => x = Rs 3645