Firoz and Asim started business on 1st June, 2023 with capitals of ₹ 5,00,000 and ₹ 2,50,000 respectively. Firoz withdrew ₹ 12,000 at the end of each month
Firoz and Asim started business on 1st June, 2023 with capitals of ₹ 5,00,000 and ₹ 2,50,000 respectively. Firoz withdrew ₹ 12,000 at the end of each month. Interest on drawings was calculated ₹ 4,500 for the year ended 31st March, 2024. Determine the rate of Interest on Drawings.
Anurag Pathak Changed status to publish April 24, 2024
Solution:-
Note:- As the partnership firm started on 1st June, there are only 10 drawings made by Firoz up to 31st March.
Calculation of Average Months.
Months remaining after 1st Drawings (after 30th June) + Months remaining after last drawing (after 31st March)/2
9 + 0/2 = 4.5 Months
Anurag Pathak Changed status to publish April 24, 2024
