## Banker's Discount

#### Banker's Discount

1. The banker's gain of a sum due 8 yr. hence at 24% per annum, is ₹ 144. Find the present worth of that bill ?
1. ₹ 39.06
2. ₹ 45
3. ₹ 38.06
4. ₹ 50

1. Given that BG = ₹ 144 , R = 24%
T = 8 yr and PW = ?
According to the formula,
PW = BG x [100/(R x T)]2
= 144 x [100/(24 x 8)]2

##### Correct Option: A

Given that BG = ₹ 144 , R = 24%
T = 8 yr and PW = ?
According to the formula,
PW = BG x [100/(R x T)]2
= 144 x [100/(24 x 8)]2
= 144 x (100/192) x (100/192)
= ₹ 39.06

1. If the banker's discount and banker's gain on a certain bill, are ₹ 196 and ₹ 28, respectively. Find the amount of bill .
1. ₹ 1200
2. ₹ 1376
3. ₹ 1176
4. ₹ 1400

1. Given that, BD = ₹ 196 and BG = ₹ 28
∴ TD = BD - BG = 196 - 28 = ₹ 168
According to the formula,
A = (BD x TD)/BG = (196 x 168)/28

##### Correct Option: C

Given that, BD = ₹ 196 and BG = ₹ 28
∴ TD = BD - BG = 196 - 28 = ₹ 168
According to the formula,
A = (BD x TD)/BG = (196 x 168)/28
= 196 X 6
= ₹ 1176

1. The present worth of a sum due sometimes hence is Rs. 576 and the banker's gain is Re. 1. The true discount is ?
1. Rs. 16
2. Rs. 18
3. Rs. 24
4. Rs. 32

1. T.D. = √(P.W.) X {(B.G.)

##### Correct Option: C

T.D. = √(P.W.) X {(B.G.)
= √(576 x 1) = Rs. 24

1. The banker's gain on a bill due 1 year hence at 5% is Re. 1. The true discount is ?
1. ₹ 15
2. ₹ 20
3. ₹ 25
4. ₹ 5

1. T.D. = (B.G x 100) / (R x T)

##### Correct Option: B

T.D. = (B.G x 100) / (R x T)
= (1 x 100) / (5 x 1)
= ₹ 20

1. Find the banker's discount on a bill due 3 years hence at 5% being given that the banker's gain is Rs. 90 ?
1. Rs. 550
2. Rs. 650
3. Rs. 690
4. Rs. 600

1. T.D. = (90 x 100) / (3 x 5) = Rs. 600
∴ Banker's discount = True discount + Banker's gain

##### Correct Option: C

T.D. = (90 x 100) / (3 x 5) = Rs. 600
∴ Banker's discount = True discount + Banker's gain
= Rs. 600 + Rs. 90
= Rs. 690