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1. The present worth of a certain bill due sometime hence is Rs. 1296 and the true discount is Rs. 72. What is the banker's discount?

A. Rs. 76

B. Rs. 72

C. Rs. 74

D. Rs. 4

Solution:

\begin{aligned} B G = \frac{{(T D)}^{2}}{P W} \\ = \frac{72^{2}}{1296} \\ = \frac{72 \times 72}{1296} \\ = \frac{12 \times 12}{36} \\ = \frac{12}{3} \\ = Rs . 4 \\ B G = B D - T D \\ \Rightarrow 4 = B D - 72 \\ \Rightarrow B D = 72 + 4 \\ = Rs . 76 \end{aligned}

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