The true discount on a bill of Rs. 2160 is Rs. 360. What is the banker's discount?
A. Rs. 432
B. Rs. 422
C. Rs. 412
D. Rs. 442
Answer: Option A
Solution(By Examveda Team)
F = Rs. 2160TD = Rs. 360
PW = F - TD = 2160 - 360 = Rs. 1800
True Discount is the Simple Interest on the present value for unexpired time
⇒ Simple Interest on Rs. 1800 for unexpired time = Rs. 360
Banker's Discount is the Simple Interest on the face value of the bill for unexpired time
= Simple Interest on Rs. 2160 for unexpired time
$$\eqalign{ & = \frac{{360}}{{1800}} \times 2160 \cr & = \frac{1}{5} \times 2160 \cr & = {\text{Rs}}{\text{.}}\,432 \cr} $$
Related Questions on Bankers Discount
The banker's discount on a bill due 4 months hence at 15% is Rs. 420. The true discount is:
A. Rs. 400
B. Rs. 360
C. Rs. 480
D. Rs. 320
A. 3 months
B. 4 months
C. 6 months
D. 8 months
A. Rs. 480
B. Rs. 520
C. Rs. 600
D. Rs. 960
Join The Discussion