## Installments Part 1

Problem 1: What annual installment will discharge a dept of 6450/- due in 4 years at 5% S.I?

Solution:

Method:

100 |105 |110|115

430——->6450

100——->?

Problem 2: What annual payment will discharge a debt of RS 944 in 4 annual equal installments at the rate of 12% on S.I?

Solution:

100| 112| 124 | 136

472——->944

100———>?

Problem 3: The annual payment of Rs.700 in 5 years at the rate of 10% S.I will discharge a debt of what amount?

Solution:

1st year——>700—->10%

2nd year—–>770+70

3rd year—–>840+70

4th year—–>910+70

5th year——>980

Total amount=4200

## Installments Part 2

Problem 1: A man borrows RS.2100 and undertakes to pay back with C.I at the rate of 10% in 2 equal yearly installments at the end of 1st and 2nd year. What is the amount of each installment?

Solution:

Formula:

2100=

2100=

2100=

2100=

2100=

Shortcut: (1+r%)=>

%

=

Problem 2: A=1820  R=20% Time=3 C.I=?

Solution:

36:30:25

Problem 3: A man buys a scooter on making a cash draw payment of 16224 and promises to pay two more yearly installment of equivalent amount in the next two years. If the rate of the installment is 4% per annum then the cash value of the scooter is?

Solution:

Total value = 16244+15600+15000 = 46,844