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A man purchased a cow for Rs. 3000 and sold it the same day for Rs. 3600, allowing the buyer a credit of 2 years. If the rate of interest be 10% per annum, then the man has a gain of:

A. 0%

B. 5%

C. 7.5%

D. 10%

Answer: Option A

Solution(By Examveda Team)

$$\eqalign{ & {\text{C}}{\text{.P}}{\text{.}} = Rs.\,3000 \cr & {\text{S}}{\text{.P}}{\text{.}} = Rs.\,\left[ {\frac{{3600 \times 100}}{{100 + \left( {10 \times 2} \right)}}} \right] \cr & = Rs.\,3000 \cr & {\text{Gain}} = 0\% \cr} $$

This Question Belongs to Arithmetic Ability >> True Discount

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Comments ( 1 )

  1. Shruti Borkar
    Shruti Borkar :
    5 years ago

    The man was promised 3600 two years later
    He bought the cow at 3000,
    Simple Interest= PNR/100=3000*2*10/100=600
    Selling Price= 3600
    He was also promised 3600
    He made 0 gain in this transaction

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