Question

What annual payment will discharge a debt of Rs 8448 in 5 years at 10% simple interest?

• A. Rs.1558
• B. Rs.1408
• C. Rs.1608
• D. Rs.1508
• E. None of these

Answer 1

The correct option is B

Rs.1408

$X+[X+(X\times 10\times \frac{1}{100}\left)\right]$
$+[X+(X\times 10\times \frac{2}{100}\left)\right]$
$+[X+(X\times 10\times \frac{3}{100}\left)\right]$
$+[X+(X\times 10\times \frac{4}{100}\left)\right]$

$5X(1+\frac{1}{5})=8448$

$X=1408$