Question

The cash price of a car is $25000. A customer paid deposits $ 3750. He repaid the amount owing in 24 equal monthly installments. If he was charged simple interest at the rate of 40% p.a, how much was each installment.
25000 – 3750
= 21250
21250 × 0.4 × 24/12
=38250
Installment = 38250/24
= 1,593.75

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