Question

Dinesh withdrew 10000 on 15th day of every month interest on drawing was to be charged @ 12% per annum calculate interest on dinesh drawings

Answer 1

Answer: 7,200

Explanation:

Answer 2

This answer is solved using formula.

Explanation:

when the drawings are are made in the middle or at any time during the month, interest on whole amount will be calculated for 6 months.

Formula :

First we need to calculate the average period:

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

Average period= $(11.5+0.5)\div 2=6$ months

Now we will calculate the interest on drawing:

Interest = $(10000\ast 12\ast 6)\div 12\div 100$

Interest = 600