Question

Om, Jai and Jagdish are partners sharing profit in the ratio of 3 : 2 : 1. Jai retires & total amount due to him is Rs 1,00,000. Assuming that he is paid 40% of the amount due immediately and the balance in three equal yearly installments. The interest payable is 12% p.a. What shall be the value of 1st installment?

• A. Rs. 7,200
• B. Rs 72,000
• C. Rs 67,200
• D. Rs 27,200

Answer 1

The correct option is D

Rs 27,200

$Interest=Rs60,000\times \frac{12}{100}=Rs7,200$

$Installment1=Rs.60,000/3+Rs7,200=Rs.20,000+Rs.7,200=Rs.27,200$