Explanation

1. First, we need to calculate the interest amount for each installment.

Since the loan is to be repaid in three equal installments, the principal amount for each installment would be Rs 15,000 / 3 = Rs 5,000.

2. The interest for each installment can be calculated by multiplying the principal amount by the annual interest rate.

In this case, it would be Rs 5,000 * 0.08 = Rs 400.

3. Since there are three installments, the total interest paid would be Rs 400 * 3 = Rs 1,200.

Therefore, the total interest paid on the loan would be Rs 1,200.

Explanation

Additional information:

Explanation

ROI stands for Return on Investment

formula:

ROI = (Net Income / Initial Investment) * 100

Additional information:

NPV stands for Net present value

Explanation

The formula for calculating simple interest is: Interest = P * R * T.

P = Principal amount (the beginning balance).

R = Interest rate (usually per year, expressed as a decimal).

T = Number of time periods (generally one-year time periods).

Additional information:

Explanation

NPV stands for Net present value

It is used in capital budgeting and investment planning 

Explanation

The formula for calculating ROI is indeed:

ROI = (Net Income / Initial Investment) * 100

ROI stands for (Return on Investment)

It is a financial metric

They measure the profitability and efficiency of an investment. 

Explanation

Gross Profit = Selling Price - COGS

Gross Profit = Rs 150 - Rs 80

Gross Profit = Rs 70

Explanation

The financial ratio that indicates the proportion of revenue is the gross profit margin.

• subtracting the COGS from the revenue
• and then dividing the result by the revenue.

Explanation

NPV is a financial metric

It is used to assess the value and profitability of an investment.

It is calculated by:

subtracting the initial investment cost from the present value of expected cash inflows.

Explanation

The primary purpose of calculating the NPV of an investment is to assess its profitability.