Business Studies, asked by Sandeepjadaun3285, 1 year ago

A loan of 21200 is to be returned in two equal annual instalments.if the rate of interest is 12% per annum compounded calculate the value of each instalment

Answers

Answered by raven3
17
Amount due at the end of two years
=21200{1 +( 12/100)}^2
=21200(28/25)^2
=(848*28*28)/25
=Rs.26593.28


Therefore, value of each annual installment
26593.28/2
=13296.64


Similar questions