1.
A man purchased a cow for Rs. 3000 and sold it the same day for Rs. 3600, allowing the buyer a credit of 2 years. If the rate of interest be 10% per annum, then the man has a gain of:
A. 0% B. 5%
C. 7.5% D. 10%
Answer & Explanation
Answer: Option A
Explanation:
C.P. = Rs. 3000.
S.P. = Rs. 3600 x 100 = Rs. 3000.
100 + (10 x 2)
Gain = 0%.
2.
The true discount on Rs. 2562 due 4 months hence is Rs. 122. The rate percent is:
A. 12% B.
13 1 %
3
C. 15% D. 14%
Answer & Explanation
Answer: Option C
Explanation:
P.W. = Rs. (2562 – 122) = Rs. 2440.
S.I. on Rs. 2440 for 4 months is Rs. 122.
Rate = 100 x 122 % = 15%.
2440 x 1
3
3.
A trader owes a merchant Rs. 10,028 due 1 year hence. The trader wants to settle the account after 3 months. If the rate of interest 12% per annum, how much cash should he pay?
A. Rs. 9025.20 B. Rs. 9200
C. Rs. 9600 D. Rs. 9560
Answer & Explanation
Answer: Option B
Explanation:
Required money = P.W. of Rs. 10028 due 9 months hence
= Rs. 10028 x 100
100 + 12 x 9
12
= Rs. 9200.
4.
A man wants to sell his scooter. There are two offers, one at Rs. 12,000 cash and the other a credit of Rs. 12,880 to be paid after 8 months, money being at 18% per annum. Which is the better offer?
A. Rs. 12,000 in cash B. s. 12,880 at credit
C. Both are equally good
Answer & Explanation
Answer: Option A
Explanation:
P.W. of Rs. 12,880 due 8 months hence
= Rs. 12880 x 100
100 + 18 x 8
12
= Rs. 12880 x 100
112
= Rs. 11500.
5.
If Rs. 10 be allowed as true discount on a 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:
A. Rs. 20 B. Rs. 21.81
C. Rs. 22 D. Rs. 18.33
Answer & Explanation
Answer: Option D
Explanation:
S.I. on Rs. (110 – 10) for a certain 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 x 110 = Rs. 18.33
120