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1. 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

Explanation:

B.D. x 100
T.D.=
100 + (R x T)
420 x 100
= Rs. 1
100 + 15 x
3
420 x 100
= Rs.
105
= Rs. 400.

2. The banker's discount on Rs. 1600 at 15% per annum is the same as true discount on Rs.
1680 for the same time and at the same rate. The time is:
A.3 months B.4 months
C.6 months D.8 months

Explanation:

## S.I. on Rs. 1600 = T.D. on Rs. 1680.

Rs. 1600 is the P.W. of Rs. 1680, i.e., Rs. 80 is on Rs. 1600 at 15%.

100 x 80 1
Time = = year = 4 months.
1600 x 15 year 3

3. The banker's gain of a certain sum due 2 years hence at 10% per annum is Rs. 24. The
present worth is:
A.Rs. 480 B.Rs. 520
C.Rs. 600 D.Rs. 960

Explanation:

## B.G. x 100 24 x 100

T.D. = = Rs. = Rs. 120.
Rate x Time 10 x 2

100 x T.D. 100 x 120
P.W. = = Rs. = Rs. 600.
Rate x Time 10 x 2

4.
The banker's discount on a sum of money for 1 years is Rs. 558 and the true discount on
the same sum for 2 years is Rs. 600. The rate percent is:
A.10% B.13%
C.12% D.15%

Explanation:

## B.D. for years = Rs. 558.

2
B.D. for 2 years= Rs. 558 x x 2
3
= Rs. 744

## B.D. x T.D. 744 x 600

Sum = = Rs. = Rs. 3100.
B.D. - T.D 144

## Thus, Rs. 744 is S.I. on Rs. 3100 for 2 years.

100 x 744
Rate = = 12%
3100 x 2 %

5. The banker's gain on a sum due 3 years hence at 12% per annum is Rs. 270. The banker's
discount is:
A.Rs. 960 B.Rs. 840
C.Rs. 1020 D.Rs. 760

Explanation:

## B.G. x 100 270 x 100

T.D. = = Rs. = Rs. 750.
RxT 12 x 3

## B.D. = Rs.(750 + 270) = Rs. 1020.

6. The banker's discount of a certain sum of money is Rs. 72 and the true discount on the
same sum for the same time is Rs. 60. The sum due is:

A.Rs. 360 B.Rs. 432
C.Rs. 540 D.Rs. 1080

Explanation:

B.D. x T.D. 72 x 60 72 x 60
Sum = = Rs. = Rs. = Rs. 360.
B.D. - T.D. 72 - 60 12

7. The certain worth of a certain sum due sometime hence is Rs. 1600 and the true discount is
Rs. 160. The banker's gain is:
A.Rs. 20 B.Rs. 24
C.Rs. 16 D.Rs. 12

Explanation:

## (T.D.)2 160 x 160

B.G. = = Rs. = Rs. 16.
P.W. 1600

8. The present worth of a certain bill due sometime hence is Rs. 800 and the true discount is
Rs. 36. The banker's discount is:
A.Rs. 37 B.Rs. 37.62
C.Rs. 34.38 D.Rs. 38.98

Explanation:

(T.D.)2 36 x 36
B.G. = = Rs. = Rs. 1.62
P.W. 800

## B.D. = (T.D. + B.G.) = Rs. (36 + 1.62) = Rs. 37.62

9. The banker's gain on a bill due 1 year hence at 12% per annum is Rs. 6. The true discount
is:
A.Rs. 72 B.Rs. 36
C.Rs. 54 D.Rs. 50

Explanation:

## B.G. x 100 6 x 100

T.D. = = Rs. = Rs. 50.
RxT 12 x 1

10. 1 3
The banker's gain on a certain sum due 1 years hence is of the banker's
2 25

1 1
A.5 % B.9 %
5 11
81% 61%
C. D.
8 6

Explanation:

## Let, B.D = Re. 1.

3
Then, B.G. = Re. .
25
3 22
T.D. = (B.D. - B.G.) = Re. 1 - = Re. .
25 25
1 x (22/25) 22
Sum = = Rs. .
1-(22/25) 3
22 1
S.I. on Rs. for 1 years is Re. 1.
3 2
100 x 1 100 1
= = 9 %.
Rate = 22x3 11 11
%

11. The present worth of a sum due sometime hence is Rs. 576 and the banker's gain is Rs.
16. The true discount is:
A.Rs. 36 B.Rs. 72
C.Rs. 48 D.Rs. 96

Explanation:

## T.D. = P.W. x B.G. = 576 x 16 = 96.

12. The true discount on a bill of Rs. 540 is Rs. 90. The banker's discount is:
A.Rs. 60 B.Rs. 108
C.Rs. 110 D.Rs. 112

Explanation:

## S.I. on Rs. 450 = Rs. 90.

90
S.I. on Rs. 540 = Rs. x 540 = Rs. 108.
450

## B.D. = Rs. 108.

13. 11
The banker's discount on a certain sum due 2 years hence is of the true discount.
10

A.11% B.10%
C.5% D.5.5%

Explanation:

## Let T.D. be Re. 1.

11
Then, B.D. = Rs. = Rs. 1.10.
10
1.10 x 1 110
Sum = Rs. = Rs. = Rs. 11.
1.10 - 1 10

100 x 1.10
Rate = = 5%.
11 x 2 %