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    Question

    A bill of exchange for ₹40,000 was discounted with the

    bank for ₹39,500. The amount of discount charged is:
    A ₹500 Correct Answer Incorrect Answer
    B ₹40,000 Correct Answer Incorrect Answer
    C ₹39,500 Correct Answer Incorrect Answer
    D ₹1,000 Correct Answer Incorrect Answer

    Solution

    Discount = Face Value of Bill - Amount Received from Bank = ₹40,000 - ₹39,500 = ₹500.

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