A loan of money is to be repaid in yearly instalments that increase uniformly and…

MATHEMATICS · Subjective · CBSE · Mathematics · Arithmetic Progressions · Arithmetic Progressions

Problem

A loan of money is to be repaid in 77 yearly instalments that increase uniformly and form an arithmetic progression. The first instalment is Rs 5 0005\,000 and the last instalment is Rs 17 00017\,000. (i) Calculate the annual increase between successive instalments. (ii) Determine the total amount repaid over the entire period of 77 years. (iii) After how many complete instalments will the borrower have repaid at least half of the total amount found in part (ii)? Justify your answer with appropriate calculations.

Related theory

Browse the problem library