+2 votes
in Mathematics by kratos

A person bought a television set paying Rs. 20,000 in cash and promised to pay Rs. 1,000 at the end of every month for the next 2 years. If the money is worth 12% p.a. converted monthly, what is the cash price of the television set? [(1.01)–24 = 0.7884]

1 Answer

+3 votes
by kratos
 
Best answer

C = Rs. 1000, n = 2 years = 24 months

r = 12% per annum

= 1% per month

Cash price of television = 20000 + 21160

= Rs. 41160

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