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Z is a partner in a firm. He withdrew regularly ₹ 2,000 every month for the six months ending 31st March, 2024. If interest on drawings is charged @ 8% p.a., the interest charged will be ______. - Accounts

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Question

Z is a partner in a firm. He withdrew regularly ₹ 2,000 every month for the six months ending 31st March, 2024. If interest on drawings is charged @ 8% p.a., the interest charged will be ______.

Options

  • ₹ 480

  • ₹ 280

  • ₹ 200

  • ₹ 240

MCQ
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Solution

Z is a partner in a firm. He withdrew regularly ₹ 2,000 every month for the six months ending 31st March, 2024. If interest on drawings is charged @ 8% p.a., the interest charged will be ₹ 240.

Explanation:

Total drawings = 2,000 × 6

= ₹ 12,000

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

= `(5.5 + 0.5)/2`

= `6/2`

= 3 months

Interest on drawings = `12,000 xx 8/100 xx 3/12`

= ₹ 240

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Chapter 1: Accounting for Partnership Firms - Fundamentals - OBJECTIVE TYPE QUESTIONS [Page 1.182]

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D. K. Goel Accountancy Volume 1 and 2 [English] Class 12 ISC
Chapter 1 Accounting for Partnership Firms - Fundamentals
OBJECTIVE TYPE QUESTIONS | Q 62. | Page 1.182
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