PadhleBeta.

net
For further information please contact: contactus@padhlebeta.net

Aptitude - True Discount

------------------------------------In this section you will find aptitude questions and answers of various
difficulty levels on True Discount with explanation for various interview,
competitive examination and entrance test in an easy to understand way. You can
also checkout Tips and Tricks, Videos related to the topic.Use Green Board or
space provided for Rough work whenever you need.

Formulae :
Let rate = R% per annum and Time = T years. Then,
A)PW = (100 x Amount )/{100+(R x T)}
B)TD = {(PW x R x T)/100} = (Amount x R x T) / (100 + (R x T))
C)Sum = (SI x TD) / (SI - TD)
D)SI TD = SI on TD
E)When the sum is put at compound interest, then PW ={ Amount / (1
+R/100)T}
_Suppose a man has to pay Rs. 156 after 4 years and the rate ofinterest
is 14% per annum. Clearly , Rs. 100 at 14% will amount to Rs. 156 in
4years. So, the payment of Rs. 100 now will clear off the debt of Rs. 156
due 4years hence. We say :
_
_Present Worth (PW ) = Rs. 100;
_True discount (TD) = Rs.(156 - 100) = Rs. 56 = Sum due PW.
_
_True discount is defined as the interest on Present worth .
_
_TD = Interest on PW

_Amount = PW + TD;
_
_Interest is calculated on PW and TD is calculated on the amount.

Questions and Answers :

PadhleBeta.net - Aptitude - True Discount
1) The true discount on Rs. 1760 due after a certain time at 12% per
annum is Rs. 160. The time after which it is due is:

1) 10 months

3) 12 months

2) 8 months

4) 5 months

Solution :
P.W. = Rs. (1760 - 160) = Rs. 1600
S.I. on Rs.1600 at 12% is Rs. 160.
Time = [100 * 160 / 1600 * 12] = 5/6 years
= [5/6 * 12] months = 10 months.
PadhleBeta.net - Aptitude - True Discount
2) Rs.20 is the true discount on Rs. 260 due after a certain time. What
will be the true discount on the same sum due after half of the former
time, the rate of interest being the same?

1) Rs. 10

3) Rs. 20.20

2) Rs. 70.20

4) Rs. 10.40

Solution :
S.I. on Rs. (260 - 20) for a given time = Rs. 20.

S.I. on Rs. 240 for half the time = Rs. 10.

T.D. on Rs. 250 = Rs. 10.
T.D. on Rs. 260 = Rs. [10/250 * 260] = Rs. 10.40
PadhleBeta.net - Aptitude - True Discount
3) If the true discount on a sum due 3 years hence at 14% per annum be
Rs. 168, the sum due is:

1) Rs. 700

3) Rs. 668

2) Rs. 500

4) Rs. 768

Solution :
P.W. = 100 * T.D./R * T = 100 * 168 / 14 * 2 = 600.
Sum = (P.W. T.D.) = Rs. (600 168) = Rs. 768.
PadhleBeta.net - Aptitude - True Discount
4) The simple interest and the true discount on a certain sum for a given
time and at a given rate are Rs. 85 and Rs. 80 respectively. The sum is:

1) Rs. 1360

3) Rs. 1665

2) Rs. 1400

4) Rs. 1700

Solution :
Sum = S.I. * T.D. / (S.I)-(T.D.)
= 85 * 80 / (85 - 80)
= Rs.1360.
PadhleBeta.net - Aptitude - True Discount

5) If Rs. 10 be allowed as true discount on bill of Rs. 110 due at the end
of a certain time, then the discount allowed on the same sum due at the
end of double the time is:

1) Rs. 13.60

3) Rs. 16.65

2) Rs. 18.33

4) Rs. 18.20

Solution :
S.I. on Rs. (110 - 10) for a certian time = Rs. 10.
S.I. on Rs. 100 for double the time = Rs. 20.
T.D. on Rs. 120 = Rs. (120 - 100) = Rs.20
T.D. on Rs. 110 = Rs. [20 /120 * 110] = Rs. 18.33
PadhleBeta.net - Aptitude - True Discount
6) test2

1) 2

3) 2

2) 2

4) 2

Solution :
test2