Solve this multiple-choice question and choose the correct option.

Find banker’s discount from banker’s gain: The banker’s gain on a sum due 3 years hence at 12% per annum is ₹360. Compute the banker’s discount.

Difficulty: Medium

Rs. 1360
Rs. 1000
Rs. 360
Rs. 640
None of these

Correct Answer: Rs. 1360

Explanation:

Introduction / Context:From BG and r t we can find the face value A, and then compute BD = A * r t. This question emphasizes the utility of the BG identity in reverse.

Given Data / Assumptions:t = 3 years; r = 12% ⇒ r t = 0.36; BG = ₹360.

Concept / Approach:

BG = A * (r t)^2 / (1 + r t) ⇒ A = BG * (1 + r t) / (r t)^2 Then BD = A * r t

Step-by-Step Solution:

A = 360 * 1.36 / (0.36)^2 = 360 * 1.36 / 0.1296 = ₹3777.78 BD = A * 0.36 ≈ 3777.78 * 0.36 = ₹1360

Verification / Alternative check:TD = BD − BG ≈ 1360 − 360 = ₹1000; TD should also equal A * 0.36 / 1.36 ≈ 1000 (checks).

Find banker’s discount from banker’s gain: The banker’s gain on a sum due 3 years hence at 12% per annum is ₹360. Compute the banker’s discount.

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