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True Discount

Important Instructions
41.

A man buys a watch for Rs. 1950 in cash and sells it for Rs. 2200 at a credit of 1 year. If the rate of interest is 10% per annum, the man:

Answer: C

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42.

The true discount on Rs. 3520 due after a certain time at 18% per annum is Rs. 320. The time after which it is due is:

Answer: C

P.W. = Rs. (3520 -320) = Rs. 3200.
S.I. on Rs. 3200 at 18% is Rs. 320.
Time = ( 100*TD)/PW*R=  ( 100*320)/3200*18= 5/9 years

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43.

I purchased a bike for Rs 1056 in real money and sold it around the same time for Rs 1296 payable following 6 months. On the off chance that the rate of hobby is 12% p.a., what amount was my addition?

Answer: C

C.P.  = Rs 1056
S.P. = P.W. of Rs 1296 due 6 months hence
= Rs. (100*1296)/(100+(12*1/2) ) = Rs ((100*1296))/106= 1200
∴ Profit = Rs (1200-1056) = Rs 144
Gain% = (144/1056*100)% = 13.6%

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44.

A Rs. 400 coat sells for how much after successive discounts of 10% and 5%?

Answer: B

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45.

A man wants to sell his scooter. There are two offers, one at Rs. 12,000 cash and the other a credit of Rs. 12,880 to be paid after 8 months, money being at 18% per annum. Which is the better offer?

Answer: A

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46.

The present value of a bill due at the end of 2 years is Rs.1250. If the bill were due at the end of 2 years and 11 months, its present worth would be Rs.1200. Find the rate of interest and the sum.

Answer: B

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47.

30% discount on Rs. 1000 and 2 successive discounts of 15% and 15% will have a difference of

Answer: A

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48.

The present worth of a bill due sometime hence is Rs. 1100 and the true discount on the bill is Rs. 110. Find the banker’s discount and the banker’s gain.

Answer: B

T.D. = √(P.W.*B.G)
B.G. = (T.D.)⊃2;/ P.W. = Rs.[(110*110)/ 1100] = Rs. 11.
B.D.= (T.D. + B.G.) = Rs. (110 + 11) = Rs. 121.

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49.

A single discount equivalent to a discount series of 20%, 10% and 25% is?

Answer: C

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50.

Chandrika raised the price of their products by 40%. How much discount should they give so as to sell the products on no profit no loss basis?

Answer: B

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