A man buys a watch for Rs. 1950 in cash and sells it for Rs. 2200 at…

Question

A man buys a watch for Rs. 1950 in cash and sells it for Rs. 2200 at a credit of 1 year. If the rate of interest is 10% per annum, the man:

Accepted Answer

Option B. gains Rs. 50. Answer & Solution Answer: Option B Solution: & S .P . = P .W .\, of\, Rs .\, 2200\, due\, 1\, year\, hence & \,\,\,\,\,\,\,\,\,\,\,\, = Rs.\, [ 2200 × 100100 + ( 10 × 1 ) ] & \,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,2000 & Gain = Rs. ( 2000 - 1950 ) & \,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,…