The price of a T.V. set worth Rs. 40000 is to be paid in 20 installments of Rs. 1000 each. If the rate of interest be 6% per annum, and the first installment be paid at the time of purchase, then the value of the last installment covering the interest as well will be? Pick one:  A) 22678  B) 26699  C) 26788  D) 19000  E) 39000

Rationale: "money paid in cash = rs . 1000 balance payment = ( 40000 - 1000 ) = rs . 39000 answer : e"
Answer: E