Question 13 Marks
A bill for Rs. 7650 was drawn on 8th March 2005 at 7 months. It was discounted on 18 May 2005 and the holder of the bill received Rs. 7497. What rate of interest did the banker charge?
Answer
View full question & answer→$\text{S} = \text{Rs 7650 ; Legal due date is October 11 2005}$$\text{Date of discounting = 18 May, 2005}$
$\text{Time (t) = ( 13 + 30 + 31 + 31 + 30 + 11) days = 146 days = } \frac{2}{5}\text{years} $
$\text{B.D = (7650 - 7497) = Rs 153. Let r be rate percent per annum}$
$\therefore \frac{7650\times r}{100} \times \frac{2}{5} = 153$
$\Rightarrow = r = \frac{153 \times 250}{7650} = 5\text{%}$
$\therefore \text{rate of interest is 5%}$
$\text{Time (t) = ( 13 + 30 + 31 + 31 + 30 + 11) days = 146 days = } \frac{2}{5}\text{years} $
$\text{B.D = (7650 - 7497) = Rs 153. Let r be rate percent per annum}$
$\therefore \frac{7650\times r}{100} \times \frac{2}{5} = 153$
$\Rightarrow = r = \frac{153 \times 250}{7650} = 5\text{%}$
$\therefore \text{rate of interest is 5%}$
