The banker's discount on a one-year quantity of money is Rs. 558, whereas the real discount on the same value over two years is Rs. 600. The percentage rate is:
A. 10%
B. 13%
C. 12%
D. 15%
Answer:C
The banker's discount on a one-year quantity of money is Rs. 558, whereas the real discount on the same value over two years is Rs. 600. The percentage rate is:
A. 10% B. 13% C. 12% D. 15%
Explanation: B.D. for three and a half years = Rs. 558.T.D. for 2 years = Rs. 600 B.D. for 2 years = Rs. 558 x2/3x 2 = Rs. 744,B.D. x T.D./B.D. - T.D. = Rs.744 x 600= Rs. 3100/144,Thus, for two years, Rs. 744 is S.I. on Rs. 3100.12 percent rate = 100 × 744/3100 x 2%=12%