A trader borrows 5000 from a financial institution at 4% rate of interest per annum. He repays 1000 at the end of each year. How much does he still has to pay after the third year?

Answer 1

The trader borrowed 5000 at a 4% rate of interest per annum. Therefore, the interest on the loan per year is 5000 * 4/100 = $<<5000*4/100=200>>200.
He repays 1000 at the end of each year, so after the first year, he still has to pay 5000 + 200 - 1000 = $<<5000+200-1000=4200>>4200.
After the second year, he still has to pay 4200 + 200 - 1000 = $<<4200+200-1000=3400>>3400.
After the third year, he still has to pay 3400 + 200 - 1000 = $<<3400+200-1000=2600>>2600. Answer: \boxed{2600}.