Aptitude - Banker's Discount - Discussion
Discussion Forum : Banker's Discount - General Questions (Q.No. 13)
13.
| The banker's discount on a certain sum due 2 years hence is | 11 | of the true discount. |
| 10 |
The rate percent is:
Answer: Option
Explanation:
Let T.D. be Re. 1.
| Then, B.D. = Rs. | 11 | = Rs. 1.10. |
| 10 |
 Sum = Rs. |
 |
1.10 x 1 |  |
= Rs. | |
110 | |
= Rs. 11. |
| 1.10 - 1 | 10 |
S.I. on Rs. 11 for 2 years is Rs. 1.10
| Rate = |
|
100 x 1.10 | % |
= 5%. |
| 11 x 2 |
Discussion:
7 comments Page 1 of 1.
Jamshaid said:
1 year ago
The Correct Answer is;
BD/TD = 11/10
Let denote, rate by X% & sum by S, then,
S * X% / (S-TD) * X% = 11/10,
S / (S-TD) = 11/10.
10S = 11S - 11TD.
11TD = S.
TD = S/11, if S = 100, TD = 9.0909 for 2 years.
For 1 year TD = 4.5454.
BD/TD = 11/10
Let denote, rate by X% & sum by S, then,
S * X% / (S-TD) * X% = 11/10,
S / (S-TD) = 11/10.
10S = 11S - 11TD.
11TD = S.
TD = S/11, if S = 100, TD = 9.0909 for 2 years.
For 1 year TD = 4.5454.
Fonzi said:
3 years ago
T.D.=1 (True Discount)
B.D.=11/10 (Banker's Discount)
B.G.=11/10-1=1/10 (Banker's Gain)
T=2 (Time in Years)
T.D.=(B.G. * 100)/(R * T).
Thus, R=5 (Rate in Percent).
B.D.=11/10 (Banker's Discount)
B.G.=11/10-1=1/10 (Banker's Gain)
T=2 (Time in Years)
T.D.=(B.G. * 100)/(R * T).
Thus, R=5 (Rate in Percent).
AMIT NATH said:
7 years ago
What is B.D and T.D?
SUKUMAR SATYEN said:
8 years ago
Following is explanation:
Rate of Interest is to be found out !
Given that, T = 2 years.
Banker's Discount (BD) is simple interest on Face Value of Bill (F),
=> BD = F*R*T/100.
=> BD = F*R*2/100....equation (1).
Also Given that,
BD = (11/10)*TD....equation (2).
True Discount (TD) is simple interest on Present Worth (PW).
=> TD = PW*T*R/100.
=> TD = PW*2*R//100....equation (3).
From equation (1), (2) & (3),
=> F*R*2/100 = (11/10)*(PW*2*R/100).
=> F = (11/10)*PW.
=> F*(10/11) = PW....equation (4).
We know, PW = F/{1+(T*R/100)}....equation (5).
From equation (4) & (5),
=> F *(10/11) = F/{1+(2*R/100)}.
=> (11/10) = {1+(R/50)}. Denominators changed !
=> (11/10)-1 = R/50.
=> 1/10 = R/50.
=> R = 50/10 = 5 percent.
Thanks.
Rate of Interest is to be found out !
Given that, T = 2 years.
Banker's Discount (BD) is simple interest on Face Value of Bill (F),
=> BD = F*R*T/100.
=> BD = F*R*2/100....equation (1).
Also Given that,
BD = (11/10)*TD....equation (2).
True Discount (TD) is simple interest on Present Worth (PW).
=> TD = PW*T*R/100.
=> TD = PW*2*R//100....equation (3).
From equation (1), (2) & (3),
=> F*R*2/100 = (11/10)*(PW*2*R/100).
=> F = (11/10)*PW.
=> F*(10/11) = PW....equation (4).
We know, PW = F/{1+(T*R/100)}....equation (5).
From equation (4) & (5),
=> F *(10/11) = F/{1+(2*R/100)}.
=> (11/10) = {1+(R/50)}. Denominators changed !
=> (11/10)-1 = R/50.
=> 1/10 = R/50.
=> R = 50/10 = 5 percent.
Thanks.
Ruchi said:
1 decade ago
T.D = True discount.
B.D = Banker's discount.
T.D = (B.D*100)/(100+R*T). Where R= rate, T=time.
Now, 10/11BD = BD*100 /(100+2T).
100+2R = 110.
2R = 10.
R = 5.
B.D = Banker's discount.
T.D = (B.D*100)/(100+R*T). Where R= rate, T=time.
Now, 10/11BD = BD*100 /(100+2T).
100+2R = 110.
2R = 10.
R = 5.
Santu said:
1 decade ago
Can anyone tell me what is T.D and B.D ?
Puli said:
1 decade ago
How we take T.D value as 1?
Post your comments here:
Quick links
Quantitative Aptitude
Verbal (English)
Reasoning
Programming
Interview
Placement Papers