What annual payment will discharge a debt of Rs. 1025 due in 2 years at the rate of 5% compound interest?	Choose the correct answer:
A) 993.2
B) 551.25
C) 534.33
D) 543.33
E) 646.33
Explanation:   Let each installment be Rs. x. Then,   x/(1 + 5/100) + x/(1 + 5/100)2 = 1025   820x + 1025 * 441   x = 551.25   So, value of each installment = Rs. 551.25   Answer: Option 551.25
<result>B</result>
What annual payment will discharge a debt of Rs. 1025 due in 2 years at the rate of 5% compound interest?