# Profit, Loss, Discounts, Successive Discount, True Discount, Banker՚s Discount Tricks and Formulas

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## Profit & Loss

- If the value of a machine is ‘P’ in a year, then its value after ‘N’ years at a depreciation of ‘R’ p. c. p. a is
- If the value of a machine is ‘P’ in a year, then its value ‘N’ years ago at a depreciation of ‘R’ p. c. p. a is
- Selling Price

## Discount

## Buy X and Get Y Free

- If articles worth ₹
*x*are bought and articles worth ₹*y*are obtained free along with*x*articles, then the discount is equal to*y*and discount percentage is given by

## Successive Discounts

When a discount of is followed by another discount of then

## False Weights

- If an item is claimed to be sold at cost price, using false weights, then the overall percentage profit is given by

## True Discount

Suppose a man has to pay ₹ 156 after 4 years and the rate of interest is 14 % per Annum. Clearly, ₹ 100 at 14 % will amount to ₹ 156 in 4 years. So, the payment of ₹ 100 now will clear off the debt of ₹ 156 due 4 years hence. We say that: Sum due *due 4 years hence*;

- Present Worth (P. W.)
- True Discount (T. D.)
- .
- Amount
- Interest is reckoned on R. W. and true discount is reckoned on the amount
- Let rate per annum & time then,
- When the sum is put at compound interest, then P. W.

## Banker՚s Discount

- Banker՚s Discount (B. D.) is the S. I. on the face value for the period from the date on which the bill was discounted and the legally due date.
- Banker՚s Gain for the unexpired time
- When the date of the bill is not given, grace days are not to be added
- on bill for unexpired time
- ) .)