CAT 2022 Interest Question (Medium)

Question

A man borrows Rs 4000 at 15 compound interest. At the end of each year, he pays back Rs 1500. How much additional amount is required to pay at the end of third year to clear all his dues

Optima Learn · Accepted Answer

To find the additional amount needed, we need to track the outstanding balance year by year under compound interest, subtracting each regular payment. Understanding the setup Rs. 4000 borrowed at 15 compound interest Rs. 1500 is paid back at the end of each year including year 3, as his regular paym

CAT 2022 Interest — Previous Year Question

CAT 2022

Quantitative

Interest

Medium

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