Mehul, Harsh and Asgar are partners in a firm sharing profit & loss equally. Harsh withdrew the following amount from the firm, for his personal use during 2020-21.

Calculate the interest on drawings, when rate of interest is 10% p.a.

₹ 1,300

The correct answer is Option (1) - ₹ 1,300

Interest on drawings = Total drawings x Rate of interest/100 x 1/12
                                  = 1,56,000 x 10/100 x 1/12
                                  = ₹1,300