# Aptitude - Banker's Discount - Discussion

Discussion Forum : Banker's Discount - General Questions (Q.No. 12)

12.

The true discount on a bill of Rs. 540 is Rs. 90. The banker's discount is:

Answer: Option

Explanation:

P.W. = Rs. (540 - 90) = Rs. 450.

S.I. on Rs. 450 = Rs. 90.

S.I. on Rs. 540 = Rs. | 90 | x 540 | = Rs. 108. | ||

450 |

B.D. = Rs. 108.

Discussion:

12 comments Page 1 of 2.
SUKUMAR SATYEN said:
9 years ago

Following is explanation:

Given that,

Face Value of Bill (F) = Rs. 540.

True Discount (TD) = Rs. 90.

Banker's Discount (BD) is to be found out, which is simple interest on Face Value of Bill (F),

=> BD = F*R*T/100.

=> BD = 540*R*T/100....equation (1).

True Discount (TD) is simple interest on Present Worth (PW).

=> TD = PW*T*R/100.

=> 90 = PW*T*R/100.

=> 90/PW = T*R/100....equation (2).

We know, PW = F/[1+(T*R/100)].

=> PW*[1+(T*R/100)] = 540.

=> PW*[1+(90/PW)] = 540.

=> PW + 90 = 540.

=> PW = 540 - 90 = Rs. 450....equation (3).

From equation (2) & (3),

=> 90/450 = T*R/100....equation (4).

From equation (1) & (4),

=> BD = 540*90/450.

=> BD = Rs.108.

Thanks.

Given that,

Face Value of Bill (F) = Rs. 540.

True Discount (TD) = Rs. 90.

Banker's Discount (BD) is to be found out, which is simple interest on Face Value of Bill (F),

=> BD = F*R*T/100.

=> BD = 540*R*T/100....equation (1).

True Discount (TD) is simple interest on Present Worth (PW).

=> TD = PW*T*R/100.

=> 90 = PW*T*R/100.

=> 90/PW = T*R/100....equation (2).

We know, PW = F/[1+(T*R/100)].

=> PW*[1+(T*R/100)] = 540.

=> PW*[1+(90/PW)] = 540.

=> PW + 90 = 540.

=> PW = 540 - 90 = Rs. 450....equation (3).

From equation (2) & (3),

=> 90/450 = T*R/100....equation (4).

From equation (1) & (4),

=> BD = 540*90/450.

=> BD = Rs.108.

Thanks.

Anjum Bano said:
7 years ago

In a simple way,

By formula;

Sum(face value) = 540 & TD = 90.

We know that,

F = (BD*TD)/(BD-TD).

=> 540 = (BD * 90)/(BD-90),

=> 6BD - 540 = BD.

BD = 108 = Bankers discount.

By formula;

Sum(face value) = 540 & TD = 90.

We know that,

F = (BD*TD)/(BD-TD).

=> 540 = (BD * 90)/(BD-90),

=> 6BD - 540 = BD.

BD = 108 = Bankers discount.

Priyanka said:
10 years ago

Given Data:

TD=90

Amount = 540

BD==?

We know that Amount = BD*TD/BD-TD

540 = BD*90/BD-90

540BD-48600 = 90BD

Answer = 108.

Have a nice day:).

TD=90

Amount = 540

BD==?

We know that Amount = BD*TD/BD-TD

540 = BD*90/BD-90

540BD-48600 = 90BD

Answer = 108.

Have a nice day:).

(1)

BhargaV said:
1 decade ago

@Anjana

T.D. means true discount.

@All

Look important formula at left side.

http://www.indiabix.com/aptitude/bankers-discount/formulas

T.D. means true discount.

@All

Look important formula at left side.

http://www.indiabix.com/aptitude/bankers-discount/formulas

Sakthivel said:
8 years ago

A simple way:

P.W = Amount-TD.

P.W = 450.

B.G = (TD)^2/PW.

B.G = 8100/450 = 18.

B.G = 18.

B.G = BD-TD.

BD = B.G+TD.

BD = 18+90.

BD = 108.

P.W = Amount-TD.

P.W = 450.

B.G = (TD)^2/PW.

B.G = 8100/450 = 18.

B.G = 18.

B.G = BD-TD.

BD = B.G+TD.

BD = 18+90.

BD = 108.

Rocks said:
1 decade ago

P.W. stands for present worth and S.I for simple interest.

Samanwita Nandi said:
7 years ago

Thank you all for the given explanation.

Manisha roy said:
1 decade ago

what is d full form of P.W. and S.I.

Hitesh said:
1 decade ago

present worth =present cost of item

Mangesh said:
1 decade ago

S.I. can be Simple Interest

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