Given the stream of consciousness rationale, provide a reasonable question and answer. Rationale: Money paid in cash = Rs. 2500
Balance payment = (40000- 2500) = Rs. 37500.
The question and answer:
The price of a T.V. set worth Rs. 40000 is to be paid in 20 installments of Rs. 2500 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?
Options:
(A) 29997
(B) 28088
(C) 27098
(D) 37500
(E) 2799
The answer is (D)