A man borrowed Rs 200 and promised to pay back in 11 equal instalments of Rs 20 each. Find the rate of simple interest per annum?
First month = Rs 200 Second month = Rs 180 Third month =Rs 160 Sum = n/2 {2a + ( n – 1 )d] a = 200 d = - 20 = (11/2) [2 x 200 + ( 11 – 1 ) (-20)] = (11/2) [400 – 20] = (11/2) x 200 = 1100 P = (200 x 11)/2 = 1,100 (P x R x T)/100 = S.I (1100 x R x 1)/(100 x 12) = 20 R = (12 x 20)/11 = 21(9/11) %
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