Home » Aptitude » Discount » Question
  1. A bill which being due at the end of 4 years is now worth $ 575, but if it is due in 2 years 6 months, it would now be worth $ 620. The sum of the bill is :
    1. $ 695
    2. $ 725
    3. $ 713
    4. None of these
Correct Option: C

Let, the rate p.c. be r%.
Given :- Present worth = $ 575 and Time = 4 years
Let, $ x be the amount of the bill.

∴ Present worth = Amount x Rate x Time
100 + Rate x Time

Then, 575 =
x × 100
100 + 4r

That is, 57500 + 2300r = 100x
∴ x = 575 + 23r …(1)
Present worth = $ 620 and Time = 2 years and 6 months = 2.5 years
and 620 =
100x
100 + 2.5 r

∴ 62000 + 1550r = 100x
∴ 6200 + 155r = 10x = 5750 + 230r [using (1)]
∴ 75r = 450
∴ r = 6
Putting the value of x in eq. (1) ⇒ x = 575 + 138 = $ 713.
Hence , The sum of the bill is $ 713.



Your comments will be displayed only after manual approval.