The banker's discount and the true discount on a sum of

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The banker's discount and the true discount on a sum of money due 8 months hence are Rs. 52 and Rs. 50, respectively. Find the sum and the rate percent ?

1. Rs. 1300, 6%
2. Rs. 1200, 5%
3. Rs. 1500, 8%
4. None of these

Correct Option: A

Sum = (B.D. x T.D.) / (B.D - T.D.) = (52 x 50) / 2 = Rs. 1300
Since B.D. is S.I. on sum due, so S.I. on Rs. 1300 for 8 months is Rs. 52 consequently.
Rate = [(100 x 52)] / [1300 x (2/3)] % = 6%