A Bicycle Can Be Purchased On A Cash Payment Of Rs 1500. The Same Bicycle Can Also Be Purchased At The Down Payment(initial payment at the time of purchasing) Of Rs 350 And Rest Can Be Paid In 3 Equal Installments Of Rs 400 For Next 3 Months.Find The Rate Of SI Charged By The Dealer
Cost price of bicycle or principal (P) = Rs 1500
Cost price of bicycle with installments procedure = Rs (350 + 3 × 400) = Rs 1550
Interest (I) = Rs 1550 - Rs 1500 = Rs 50
Total number of months = 4
T =
Let the rate br R% per annum.