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Get access to the detailed solutions to the previous years questions asked in CMAT exam.
Time value of money Rs 4,000 at the end of 3 years = Rs 6083.5
Value of first installment at the end of 3 years = Rs 1983.75
Value of second installment at the end of 3 years = Rs 1725
Value of third installment = 1500
Let us assume he has to pay Rs. x to clear all his dues
1983.75 + 1725 + 1500 + x = 6083.5
x = Rs 874.75
Answer is option D.