Question

If an equal amount is withdrawn by a partner in the end of each month during a period of 6 months ending 31st March, 2024, interest on the total amount will be charged for ______ months.

Options

• 2.5

• 3

• 3.5

• 6

Answer 1

If an equal amount is withdrawn by a partner in the end of each month during a period of 6 months ending 31st March, 2024, interest on the total amount will be charged for 2.5 months.

Explanation:

Average Period = `("Months left after first drawing" + "Months left after last drawing")/2`

= `(5 + 0)/2`

= 2.5 months