Difficulty: Easy
Correct Answer: ₹ 8540
Explanation:
Introduction / Context:When a balance is carried forward with simple interest, the interest accrues only on the unpaid remainder for the specified time. The total outlay is the upfront payment plus the future payment including its interest.
Given Data / Assumptions:
Concept / Approach:Interest on balance = 4500 * 0.08 * 1.5. Total paid = 3500 + 4500 + interest.
Step-by-Step Solution:
Interest = 4500 * 0.08 * 1.5 = ₹ 540.Total = 3500 + 4500 + 540 = ₹ 8540.Verification / Alternative check:
Balance with SI equals ₹ 5040 after 18 months; add the cash payment to confirm total.Why Other Options Are Wrong:
Common Pitfalls:
Final Answer:₹ 8540.
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