ABC26GN5408 · True Discount

Subject: General Aptitude · Chapter: True Discount · Exam: · Marks: · Difficulty:

The difference between simple interest and the true discount on ₹ 2400 due 4 years hence at 5\% per annum simple interest is [SSC-CHSL (10+2) Exam, 2015]
(a)₹ 70
(b)₹ 30
(c)₹ 50
(d)₹ 80
Answer
Answer (as printed): D
Explanation
Given $\mathrm{A}=2400, \mathrm{R}=5 \%, \mathrm{T}=4$ year $$\begin{aligned} & \therefore \mathrm{TD}=\frac{\mathrm{A} \times \mathrm{R} \times \mathrm{T}}{100+\mathrm{R} \times \mathrm{T}} \\ & =\frac{2400 \times 4 \times 5}{100+20}=₹ 400 \\ & \therefore \mathrm{SI}-\mathrm{TD}=\frac{\mathrm{TD} \times \mathrm{R} \times \mathrm{T}}{100} \\ & =\frac{400 \times 5 \times 4}{100}=₹ 80 \end{aligned}$$

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