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Renu takes a loan of ₹12,00,000 with 12% annual interest for 10 years on flat rate basis..

Match the LIST-I with LIST-II

LIST-ILIST-II
A. Principal of the loanI. ₹14,40,000
B. Total interest on the principalII. ₹26,40,000
C. EMIIII. ₹12,00,000
D. Total amount paid in 10 yearsIV. ₹22,000

Choose the correct answer from the options given below:

Solution

✅ Correct Option: 3

Principal is 12,00,00012{,}00{,}000 (III).

Flat interest =12,00,000×0.12×10=14,40,000= 12{,}00{,}000 \times 0.12 \times 10 = 14{,}40{,}000 (I).

Total repayment =26,40,000= 26{,}40{,}000 (II), so EMI =26,40,000/120=22,000= 26{,}40{,}000/120 = 22{,}000 (IV).

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