"A partner draws Rs 1,000 p.m in the beg

CUET Preparation Today

Start Free Mocks

Home Questions 8F5978X2P4

Target Exam

CUET

Subject

Accountancy

Chapter

Accounting for Partnership

Question:

"A partner draws Rs 1,000 p.m in the beginning of every month . Interest is to be charged at 15% p.a. The interest charged on drawings will be --"

Options:

Rs 1,800

Rs 900

Rs 975

Rs 1,500

Correct Answer:

Rs 975

Explanation:

Interest on Drawings = (Total Drawings)12,000 * 15/100 * 6.5/12= Rs 975