The true discount on a certain bill due for nine months at
4 % simple interest is
?150. Find the amount of the bill.
Options
A. ?5150
B. ?5250
C. ?4750
D. ?5650
Correct Answer
?5150
Explanation
True Discount problems
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1.
If
?21 is the true discount on
?371 for a certain time, what is the true discount on the same amount for double that time, the rate being the same in both the cases?
The difference between the simple interest and the true discount on a certain sum of money for
2 years at
15 % per annum at simple interest is
?45. Find the sum.
If Rs. 10 be allowed as true discount on a bill of Rs. 110 due at the end of a certain time, then the discount allowed on the same sum due at the end of double the time is?
S.I on Rs. (110 - 10) for a given time = Rs. 10 S.I. on Rs. 100 for double the time = Rs. 20 Sum = Rs. (100 + 20) = Rs. 120 T.D. on Rs. 110 = Rs. (20/120) x 110 = Rs. 18.33