Q. A man buys a watch for Rs. 195 in cash and sells it for Rs. 220 at a credit of 1 year. If the rate of interest is 10%, the man ?
✅ Correct Answer: (C)
Gains Rs. 5
Explanation: P.W. of Rs. 220 due 1 year hence = Rs. (100 x 220) / (100 + 10)
= Rs. 200
hence, the man gains Rs. 5
Explanation by: Omveer
P.W. of Rs. 220 due 1 year hence = Rs. (100 x 220) / (100 + 10)
= Rs. 200
hence, the man gains Rs. 5
= Rs. 200
hence, the man gains Rs. 5