Statistics & Applications > Financial Math

Medium

applied

Let $P, I$ and $n$ be the principal of the loan, the total interest on the principal and number of months in the loan period respectively, then the EMI by Flat Rate Method is:

$\frac{P}{I+n}$

$\frac{P+I}{n}$

$P + \frac{I}{n}$

$\frac{I-P}{n}$

✅ Correct Option: 2

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Choose the correct answer from the options given below:

Let $P, I$ and $n$ be the principal of the loan, the total interest on the principal and number of months in the loan period respectively, then the EMI by Flat Rate Method is:

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