How much amount will be paid to creditor for ₹ 25,000 if ₹ 5,000 of the creditors are not to bepaid and the remaining creditors agree to accept 5% less amount?(A) ₹ 18,750(B) ₹ 19,000(C) ₹19,750(D) ₹ 20,000
Question
How much amount will be paid to creditor for ₹ 25,000 if ₹ 5,000 of the creditors are not to bepaid and the remaining creditors agree to accept 5% less amount?(A) ₹ 18,750(B) ₹ 19,000(C) ₹19,750(D) ₹ 20,000
Solution
To calculate the amount that will be paid to the creditor for ₹25,000, we need to follow these steps:
Step 1: Subtract the amount that is not to be paid (₹5,000) from the total amount (₹25,000). ₹25,000 - ₹5,000 = ₹20,000
Step 2: Calculate the 5% reduction from the remaining amount. 5% of ₹20,000 = ₹20,000 * 0.05 = ₹1,000
Step 3: Subtract the reduction amount from the remaining amount. ₹20,000 - ₹1,000 = ₹19,000
Therefore, the amount that will be paid to the creditor is ₹19,000.
The correct answer is (B) ₹19,000.
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