A person who pays income tax at the rate of 4 paise per rupee, find that a fall of interest rate from 4% to 3.75% diminishes his net yearly income by Rs.48. What is his capital ?
Options:
A . Rs.25,000
B . Rs.24,000
C . Rs.18,000
D . Rs.20,000
Answer: Option D Answer: (d)If the capital after tax deduction be x, thenx × (4 - 3.75) % = 48${x × 0.25}/100$ = 48${x × 25}/10000$ = 48$x/400$ = 48x = 48 × 400 = Rs.19200Required capital= ${19200 × 100}/96$ = Rs.20000
Submit Comment/FeedBack