1.  If the true discount on Rs.4510 due 6 months hence is Rs.110, the rate of interest is:
A. 5%
B. 10%
C. 4%
D. 8%

Answer: Option A

Explanation:

P.W. = Rs. (4510 - 110) = Rs. 4400.

S.I. on Rs. 4400 for 6 months is Rs. 110.

Rate = 100 x 110 % = 5%.
4400 x 1
2