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Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, he drew on Dhiman a bill for the amount for 3 months, which Dhiman duly accepted. Neelam got the bill discounted with her bank before the due date, Dhiman became insolvent. Later, her estate could pay only 40% of the amount due. What will be the amount of deficiency in the books of Dhiman.
  • a)
    3200
  • b)
    2200
  • c)
    2400
  • d)
    2000
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, h...
Given information:
- Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06.
- On the same day, Neelam drew a bill of exchange on Dhiman for the amount for 3 months, which Dhiman accepted.
- Neelam got the bill discounted with her bank before the due date.
- Dhiman became insolvent.
- Later, Dhiman's estate could pay only 40% of the amount due.

To find: The amount of deficiency in the books of Dhiman.

Calculation:
The bill amount = Rs 4,000
Discounted value of the bill = (Bill amount * time period * rate of discount) / (100 + time period * rate of discount)
= (4000 * 3 * r) / (100 + 3 * r) (Assuming the rate of discount to be 'r'.)
Let's assume the discounted value of the bill to be 'D'.

Neelam received the discounted value of the bill from her bank before the due date. Therefore, Neelam received Rs D from the bank.

But later, when Dhiman became insolvent, his estate could pay only 40% of the amount due. Therefore, the amount paid by Dhiman's estate = 40% of Rs 4,000 = Rs 1,600.

The amount of deficiency in the books of Dhiman = Rs D - Rs 1,600

Substituting the value of 'D' in the above equation, we get:

Amount of deficiency = [(4000 * 3 * r) / (100 + 3 * r)] - 1600
Simplifying the above equation, we get:
Amount of deficiency = (12000 * r) / (100 + 3 * r)

To find the value of 'r', we can use the following formula:
Accepted amount = Bill amount - Discount
Rs 4,000 = Bill amount - [(Bill amount * 3 * r) / (100 + 3 * r)]
Simplifying the above equation, we get:
Bill amount * (100 + 3 * r) = 4,000 * (100 + r)
100 * r = 1,000
r = 10

Substituting the value of 'r' in the formula for amount of deficiency, we get:

Amount of deficiency = (12000 * 10) / (100 + 3 * 10) = Rs 2,400

Therefore, the amount of deficiency in the books of Dhiman is Rs 2,400.

Hence, the correct answer is option (c).
Free Test
Community Answer
Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, h...
Sales to Dhiman = 4000
He paid only 40% of it.
4000×40÷100=1600
Deficiency he had not paid=4000-1600=2400
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Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, he drew on Dhiman a bill for the amount for 3 months, which Dhiman duly accepted. Neelam got the bill discounted with her bank before the due date, Dhiman became insolvent. Later, her estatecould pay only 40% of the amount due. What will be the amount of deficiency in the books of Dhiman.a)3200b)2200c)2400d)2000Correct answer is option 'C'. Can you explain this answer?
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Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, he drew on Dhiman a bill for the amount for 3 months, which Dhiman duly accepted. Neelam got the bill discounted with her bank before the due date, Dhiman became insolvent. Later, her estatecould pay only 40% of the amount due. What will be the amount of deficiency in the books of Dhiman.a)3200b)2200c)2400d)2000Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, he drew on Dhiman a bill for the amount for 3 months, which Dhiman duly accepted. Neelam got the bill discounted with her bank before the due date, Dhiman became insolvent. Later, her estatecould pay only 40% of the amount due. What will be the amount of deficiency in the books of Dhiman.a)3200b)2200c)2400d)2000Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Neelam sold goods to Dhiman for Rs 4,000 on 1.5.06. On the same day, he drew on Dhiman a bill for the amount for 3 months, which Dhiman duly accepted. Neelam got the bill discounted with her bank before the due date, Dhiman became insolvent. Later, her estatecould pay only 40% of the amount due. What will be the amount of deficiency in the books of Dhiman.a)3200b)2200c)2400d)2000Correct answer is option 'C'. Can you explain this answer?.
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