Mohan has a recurring deposit account in a bank for 2 years at 6% p.a. simple interest. If he gets Rs 1200 as interest at the time of maturity, find:
(i) the monthly instalment
(ii) the amount of maturity. (2016)
Solution:
Interest = Rs 1200
Period (n) = 2 years = 24 months
Rate (r) = 6% p.a.
Mr. R.K. Nair gets Rs 6,455 at the end of one year at the rate of 14% per annum in a recurring deposit account. Find the monthly instalment.
Solution:
Let monthly instalment is Rs P
here n = 1 year = 12 months
n = 12