1.

The True Discount On A Bill Of Rs. 2160 Is Rs. 360. What Is The Banker's Discount?

Answer»

F = Rs. 2160

TD = Rs. 360

PW = F - TD = 2160 - 360 = Rs. 1800

True Discount is the SIMPLE Interest on the PRESENT value for unexpired time

=>Simple Interest on Rs. 1800 for unexpired time = Rs. 360

Banker's Discount is the Simple Interest on the face value of the BILL for unexpired time

= Simple Interest on Rs. 2160 for unexpired time

=360/1800×2160=1/5×2160=Rs. 432.

F = Rs. 2160

TD = Rs. 360

PW = F - TD = 2160 - 360 = Rs. 1800

True Discount is the Simple Interest on the present value for unexpired time

=>Simple Interest on Rs. 1800 for unexpired time = Rs. 360

Banker's Discount is the Simple Interest on the face value of the bill for unexpired time

= Simple Interest on Rs. 2160 for unexpired time

=360/1800×2160=1/5×2160=Rs. 432.



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