The interest on Rs. 750 for 2 years is equal to the true discount on Rs. 810 for the same time and at the same rate. The rate percent is?

41/3%
51/6%
4%
5%

Correct Answer: 4%

Explanation:

Since T.D. is S.I. on Rs. P.W.,
we have Rs. (810 - 750) or Rs. 60 as S.I. on Rs. 750 for 2 years
∴ Rate = (100 x 60) / (750 x 2) = 4%

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