Question

If a man borrows Rs. 10000 at a rate of 15% per annum, then what is the amount he will pay after 22 months?

• A. 12750
• B. 11500
• C. 10500
• D. 11250

Answer 1

The correct option is A

12750

Principal amount = Rs 10000
Interest for the first year = 100000 $\times$ 0.15
= 1500
Interest for next 10 months $=\left(\frac{1500}{12}\right)10$
= 1250
Total money that will be paid after 22 months = 10000 + 1500 + 1250= Rs. 12750