X, Y, Z were partners sharing profits and losses in the ratio of 4:3:2. Z died on 30 June 2020 on which date his capital is ₹100000, and after doing all adjustments his capital balance will be ₹174000. His share of profit from the closing of last year till his death is ₹7500. Z's executor is paid ₹14000 on Ist July 2020 and the balance in 2 equal annual installments starts from 30th June,2021 with interest @ 6%p.a. Accounts are closed on 31st March.

What will be the amount of interest that is paid on the Ist installment?

₹9600

Balance is paid in 2 equal installments and the amount paid to the executor is ₹160000. This will be paid into 2 equal annual installments means 80000 each year plus interest.

Z's Executor Account