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Bipasa is a partner in a firm. She withdrew 6,000 at the end of each quarter during the year ended 31st March, 2019. Interest on her drawings @ 10% p.a. will be :
900
600
1,500
1,200
- Bipasa withdrew 6,000 at the end of each quarter, totaling four withdrawals in a year (on June 30, September 30, December 31, and March 31).
- Interest is calculated on the amount withdrawn at the end of each quarter for the period it's been in use until March 31, 2019.
- Interest for each quarter:
- 1st withdrawal (3 months interest): Interest on 6,000 for 9 months at 10% = \( \frac{6,000 \times 10 \times 9}{100 \times 12} = 450 \)
- 2nd withdrawal (6 months interest): Interest on 6,000 for 6 months at 10% = \( \frac{6,000 \times 10 \times 6}{100 \times 12} = 300 \)
- 3rd withdrawal (9 months interest): Interest on 6,000 for 3 months at 10% = \( \frac{6,000 \times 10 \times 3}{100 \times 12} = 150 \)
- 4th withdrawal (no interest): Interest on 6,000 for 0 months = 0
- Total interest: 450 + 300 + 150 = 900.
- Therefore, the correct option is Option 1: 900
By: santosh ProfileResourcesReport error
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