Question

A bill of Rs 60000 was drawn on 1 st April 2011 at 4 months and discounted for Rs 58560 at a bank. If the rate of interest was 12% per annum, on what date was the bill discounted? 

Answer 1

B.D. = Face value – Amount received = Rs (60000 – 58560) = Rs 1440 

Now, B.D. is interest on face value for remaining periods. 

1440 = 60000 × (12/100) × Remaining period 

⇒ Remaining period 

Now, bill was drawn on 1st April, 2011 for four months. So legally due date is 4th of August 2011. 

The bill was encashed 73 days before this counting days backwards. 

August – 4 days 

July – 31 days 

June – 30 days 

May – 8 days 

The bill was encashed on (31 – 8) = 23 May, 2011.