A company purchased a machine for ₹ 15,00,000 and its effective life is estimated to be 10 years. A sinking fund is created for replacing the machine at the end of its effective life when its scrap value is ₹ \(2,42,000\). What amount company should provide at the end of every year out of profits for the sinking fund if it accumulates an interest of \(5 \%\) per annum? [Given: \((1.05)^{10}=1.629\)]

Apply the relevant identity from the chapter and substitute the values established in the previous step, keeping the original constraint in view.

Use the simplified expression to isolate the unknown, then plug the result back into the question setup to confirm the working is internally consistent.

Cross-check against a boundary or limiting case. Both the dimensional balance and the qualitative behaviour at the extreme should agree with the candidate answer.

Combine the steps above to identify the correct option. The remaining choices each fail at least one of the consistency, dimensional, or boundary checks.