The price of a T.V set worth Rs. 20,000 is to be paid in 20 installments of Rs. 1000 each. If the rate of interest be 6% per annum, and the first installment be paid at the time of purchase, then the value of the last installment covering the interest as well will be:

A.1050
B.2050
C.3000
D.5000
E.None of these
Answer: E

Explanation:

Money paid in cash = Rs. 1000.
Balance payment = Rs. (20000 – 1000) = Rs. 19000.