Find true discount from banker’s gain: The banker’s gain on a bill due 1 year hence at 10% per annum is ₹20. What is the true discount?

Introduction / Context:
Given BG and r t, we can find the face value and then TD. Alternatively, use the relation BG = TD * r t to get TD directly once r t is known.

Given Data / Assumptions:
t = 1 year, r = 10% ⇒ r t = 0.10; BG = ₹20.

Concept / Approach:
Use either of two paths:

Step-by-Step Solution:

Verification / Alternative check:
From (2): 20 = A * 0.01 / 1.10 ⇒ A = 2200; TD = 2200 * 0.10 / 1.10 = ₹200 (same result).

Final Answer:
Rs. 200