Question

If EMI of some amount for the time span of 15 years at the rate of 11.25% p.a. on the beginning of each year is Rs. 5874.57 then find the loan amount

Answer 1

Answer:. Ans is 504012.

Answer 2

The Loan amount is ₹ 79207.68.

Given:

EMI amount = ₹ 5874.57

Time = 15 years

Interest rate per annum = 11.25 %

To Find:

Loan Amount.

Solution:

For the total amount including the loan amount and the interest,

The EMI amount should be multiplied by the time,

                                           $= 5874.57*15\\=88118.55$

Hence the total amount is ₹ 88118.55.

Now, For the loan amount,

Let us assume the loan amount be 'x'.

Here the total amount should be equal to the sum of interest and the loan amount.

So,

                    $Total~Amount = Loan~Amount+Interest\\~~~~~~~~~88118.55=x+11.25~\%~of~x\\~~~~~~~~~88118.55=x+\cfrac{11.25}{100} *x\\\\~~~~~~~~~88118.55=\cfrac{100x+11.25x}{100} \\\\~~88118.55*100= 111.25x\\\\~~~~~~~~~~~~~~~~~~~x=\cfrac{881185}{111.25}\\\\~~~~~~~~~~~~~~~~~~~x=79207.68$

The assumed value of 'x' that is loan amount comes to be 79207.68.

Hence the Loan amount is ₹ 79207.68.