Question

Discounting Charges =

• A. Amount of Bill Discounted $\times$ Rate +Unexpired Period
• B. Amount of Bill Discounted +Rate $\times$ Unexpired Period
• C. Amount of Bill Discounted $\times$ Rate $\times$ Unexpired Period
• D. None of these

Answer 1

Answer: (C)

Amount of Bill Discounted $\times$ Rate $\times$ Unexpired Period

The 'discounting charges' of a bill depends on the rate of interest and the period of maturity.