Concept of Installments
Let’s study the concept of Installments in this article, and see the kind of questions that we may encounter.
Q. Mak purchased a mobile phone under EMI scheme, on zero interest basis and signed an agreement for monthly installments for 3 years. If he paid Rs. 18,000 in total, what is the monthly amount he is supposed to pay?
(a) Rs. 666.66 (b) Rs. 500 (c) Rs. 1000 (d) Rs. 2000
Explanation:
Total amount paid = Rs. 18,000 Total monthly installments = 3 × 12 = 36
Monthly amount = 18000/36 = Rs. 500
Answer: (b)