Question

Ankush wanted to purchase a LCD TV and went to showroom. He found that LCD with market price of Rs . 30,000 , is available with cash payment along with 5% discount or for Rs. 5000 as cash down payment followed by 3 equal monthly installments with interest at the rate of 10% per month. Find the difference in amount payable under the two schemes.

Answer 1

the difference in amount payable under the two schemes is 2500

Answer 2

In first case
he will get 5% discount
hence,
30000×5/100=1500rs

he has to pay =30000-1500
=28500rs

In second case
down payment 5000
total installment amount =30000-5000=25000
now 10% interest applied to this 25000rs
25000×10/100=2500rs
hence,
grand total he has to pay= 5000+25000+2500
=32500rs

Difference in amount under two scheme=32500-28500
=4000rs