Question

What annual payment will discharge a debt of rs. 580 due in 5 years, the rate being 8% per annum? ?

Answer 1

$annul \: interest \: \\ 580 \times 8 \div 100 = 46.4 \\ interest \: of \: 5years \\ 46.4 \times 5 = 232 \\ \\ total \: amount \: of \: loan \\ 580 + 232 = 812 \\ annual \: installmet = \\ 812 \div 5 = 162.4$