Question

Meghna bought a saree from the saree shops was Rs. 3310. she promised to pay in three equal yearly installment with rate of interest 10% per annum compoundly, then find the each installment. 
1. 1331
2. 1100
3. 1200
4. 1310

Answer 1

Correct Answer - Option 1 : 1331

9Given 

Meghna bought a saree = Rs 3310 

Rate of interest = 10%

time = 3 year 

Calculation 

Rate of interest = 10% = 1/10

Let the principal be 10x

Time	Principal	Instalment
For 1st year	10x	11x      ----(1)
For 2nd year	100x	121x      ----(2)
For 3rd year	1000x	1331x      ----(3)

Instalment is equal so, eq(ii) multiply with 11 and eq(i) multiply with 121

Time	Principal	Instalment
For 1st year	1210x	1331x
For 2nd year	1100x	1331x
For 3rd year	1000x	1331x

Total principal = 1210x + 1100x + 1000x = 3310x

⇒ Total Cost = 3310

⇒ 3310x = 3310 

⇒ x = 1 

⇒ So, Installment = 1331x = 1331 

∴ Each installment paid by Meghna is Rs. 1331