Question

Abha, Manju, and Rhea were partners in a firm sharing profits and losses in the ratio of \( 3 : 3 : 4 \). During the year ended 31\textsuperscript{st March, 2023, Rhea withdrew ₹ 30,000 at the beginning of each half year. Interest on Rhea’s drawings @ 10\% p.a. for the year ended 31\textsuperscript{st} March, 2023 will be:}

• A. ₹ 6,000
• B. ₹ 4,500
• C. ₹ 3,000
• D. ₹ 1,500

Hint:

When withdrawals are made at regular intervals, always calculate the average time period for each interval before determining the interest.

Answer 1

The Correct Option is B

Interest on drawings is calculated as: \[ \text{Interest on Drawings} = \text{Total Drawings} \times \text{Rate of Interest} \times \text{Average Time Period}. \] Rhea withdrew ₹ 30,000 twice during the year (at the beginning of each half-year). The average time period for each withdrawal is calculated as: \[ \text{Average Time Period for First Withdrawal} = \frac{12}{12} = 1 \, \text{year}, \] \[ \text{Average Time Period for Second Withdrawal} = \frac{6}{12} = 0.5 \, \text{year}. \] Now, calculate the interest for each withdrawal: \[ \text{Interest for First Withdrawal} = ₹ 30,000 \times 10\% \times 1 = ₹ 3,000, \] \[ \text{Interest for Second Withdrawal} = ₹ 30,000 \times 10\% \times 0.5 = ₹ 1,500. \] The total interest is: \[ \text{Total Interest} = ₹ 3,000 + ₹ 1,500 = ₹ 4,500. \]