P = i ) i < F < F ( . < F : D = , : D = , : D ≈ , ` P = ` , Example . A photographer purchases a camera on installments. He has to pay annual installments each of ` , right from the date of purchase.
If the rate of compound interest is % then find the cost price (present value) of the camera. [( . ) = . ] Here a = , ; n = and i = .
Now P = ( + i ) i ) i < F = ( + . ) < F ( , ) < F 36000 : D 36000 : D ≈ , , . ` P = ` , , Example . A person has taken a loan of ` , , at % rate of interest from a finance company.
If the repayment period is of years then find the installment he has to pay at the beginning of each month. [( . ) = . ].
Here P = , , ; n = ; i = . and k = . P = k + k e o k nk > H 700000 = > H b l > H - - ; E = a : D = a : D = a : D ⇒ a = , ≈ ` , Example . The chairman of a society wishes to award a gold medal to a student getting highest marks in Business Mathematics and