A sum of money is borrowed and paid back in two annual intallments of Rs 882 each allowing 5 C I The...........

Quantitative Aptitude ( CCS) Compound Interest

A sum of money is borrowed and paid back in two annual intallments of Rs. 882 each allowing 5% C.I. The sum borrowed was

1620

1640

1680

1700

Present worth of Rs. P due in n years is given by
Present worth =

Therefore, Principal = (Present worth of Rs. 882 due 1 year hence) + (Present worth of Rs. 882 due 2 years hence)

= Rs 840 + Rs 800 = Rs 1640

Hence, option 2 is the correct answer.

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