The banker's discount and the true discount on a sum of money due 8 months hence are Rs. 52 and Rs. 50, respectively. Find the sum and the rate percent?
Correct Answer: Rs. 1300, 6%
Explanation:
Sum = (B.D. x T.D.) / (B.D - T.D.) = (52 x 50) / 2 = Rs. 1300
Since B.D. is S.I. on sum due, so S.I. on Rs. 1300 for 8 months is Rs. 52 consequently.
Rate = [(100 x 52)] / [1300 x (2/3)] % = 6%
