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Question

Rs. 20 is the true discount on Rs. 260 due after a certain time. What will be the true discount on the same sum due after half of the former time, the rate of interest being the same?

Options:
A .  Rs. 10
B .  Rs. 10.40
C .  Rs. 15.20
D .  Rs. 13
Answer: Option B

S.I. on Rs. (260 - 20) for a given time = Rs. 20.


S.I. on Rs. 240 for half the time = Rs. 10.


T.D. on Rs. 250 = Rs. 10.


Therefore T.D. on Rs. 260 = Rs. \(\left(\frac{10}{250}\times260\right) = Rs. 10.40\)


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