Question

I don't get problems/concepts that involve equal annual installments. Such as below -
"A sum of money is paid back in two annual installments of Rs. 1764 each, allowing 5% C.I. What was the sum borrowed?" (Ans-Rs. 3,280)
Is interest kept on the equal annual installment? Is the sum of money actually the amount and not principle? Or is the principle? Confusion.

Answer 1

Please help.

Answer 2

MEANIES! >:/ :P