Question

Shalini took a loan of ₹40,000 from a bank for 11 months. If she paid ₹4000 extra to the bank, then how much money did she pay every month(in ₹)?

• A. 4,600
  
• B. 4,100
  
• C. 4,000
  
• D. 3,500
  

Answer 1

The correct option is C 4,000


Solution:

Amount borrowed by the Shalini = ₹ 40,000
Extra money paid as Interest to the bank = ₹ 4,000
Thus, total money paid back to the bank = Loan Amount + Interest
Thus, Total money paid by Shalini to the bank = ₹ 40,000 + ₹ 4,000 = ₹ 44,000
Total amount paid back by the Shalini each month = Total amount paid ÷ Number of months
= 44,000 ÷ 11 = 4,000
Hence, Shalini pays ₹ 4,000 each month to the bank.