Gopal borrows Rs 1,00,000 from a bank at 10% p.a. simple interest and clears the debt in five years. If the installments paid at the end of the first, second, third and fourth years to clear the debt are Rs 10,000, Rs 20,000, Rs 30,000 and Rs 40,000 respectively, what amount should be paid at the end of the fifth year to clear the debt? Choose the correct choice from the following
A) Rs 20,000  B) Rs 24,500  C) Rs 30,000  D) Rs 35,900  E) None
Explanation:   Always remember, In the case of simple interest, installment amount will always be reduced from principal and the interest will be calculated on the remaining principal.   Simple interest for the first year = P×T×R/100=100000×1×10/100 = Rs.10000   Amount after first instalment is paid = 1,00,000 - 10,000 = Rs 90,000   Simple interest for the second year = P×T×R/100=90000×1×10/100= Rs.90,000   Amount after second instalment is paid = 90,000 - 20,000 = Rs 70,000   Simple interest for the third year = P×T×R/100=70000×1×10/100= Rs.7000   Amount after third instalment is paid = 70,000 - 30,000 = Rs 40,000   Simple interest for the fourth year = P×T×R/100=40000×1×10/100 = Rs.4000   Amount after fourth instalment is paid = 40,000 - 40,000 = 0.   Balance of debt for the fifth year = simple interest for four years = 10,000 + 9,000 + 7,000 + 4,000 = Rs 30,000.   Answer Rs 30,000
<result>C</result>
Gopal borrows Rs 1,00,000 from a bank at 10% p.a. simple interest and clears the debt in five years. If the installments paid at the end of the first, second, third and fourth years to clear the debt are Rs 10,000, Rs 20,000, Rs 30,000 and Rs 40,000 respectively, what amount should be paid at the end of the fifth year to clear the debt?