A partner withdrew Rs 80,000 for 12 months in a year. What is the interest on drawings at 6% per annum?
Answer and explanation
Correct answer: C. Rs 4,800
- Step 1: Interest = amount x rate x months / 1200.
- Step 2: 80000 x 6 x 12 / 1200 = 4800.
Answer
Rs 4,800.
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