Question

A man has a recurring deposit account in a bank for 2 years. If the rate of interest is 10% per annum
and the man gets Rs 53,000 on maturity. Find the value of monthly installment

Answer 1

Answer:

we know the formula for simple interest;

S.I=

100

P×T×R

let the amount he invested be Rs.P.

1200=

100

p×2×6

P=10000

1. monthly installment:

=

100

10000×

12

1

×6

=50

hence the monthly installment is Rs.50

2. amount of maturity:

=10000+1200=11200

its just the extra amount obtained other than his deposit that is Rs.11200