Question

Sumita took a loan at simple interest rate of 5% in the first year and it increased of 2% p.a. every year. If she pays Rs. 9000 as interest at the end of 4 years what was her loan amount?

• A. Rs.28125
• B. Rs.21825
• C. Rs.25182
• D. Rs.28521
• E. None of these

Answer 1

The correct option is A

Rs.28125

$\frac{x\times 5\times 1}{100}+\frac{x\times 7\times 1}{100}+\frac{x\times 9\times 1}{100}+\frac{x\times 11\times 1}{100}=9000$

$x=Rs.28125$