1.  Rs. 20 is the true discount on Rs. 260 due after a certain time. What will be the true discount on the same sum due after half of the former time, the rate of interest being the same? 

Answer: Option B Explanation: S.I. on Rs. (260  20) for a given time = Rs. 20. S.I. on Rs. 240 for half the time = Rs. 10. T.D. on Rs. 250 = Rs. 10.
