A dealer owes a merchant Rs. 10,028 that is due in a year. After three months, the trader wishes to pay the account. How much cash should he pay if the interest rate is 12% per year?
A. Rs. 9025.20
B. Rs. 9200
C. Rs. 9600
D. Rs. 9560
Answer:B
A dealer owes a merchant Rs. 10,028 that is due in a year. After three months, the trader wishes to pay the account. How much cash should he pay if the interest rate is 12% per year?
A. Rs. 9025.20 B. Rs. 9200 C. Rs. 9600 D. Rs. 9560
Explanation: P.W. of Rs. 10028 due in 9 months = Rs. 10028 x 100 /100 +12 x 9/12 = 9200 rupees