Question

Amount of interest to be charged on Hitesh’s drawings will be:

• A. Rs.225
• B. Rs.4,500
• C. Rs.300
• D. Rs.7,200

Hint:

When calculating interest on drawings for a specific period, use the formula \( {Amount} \times {Rate} \times {Time (in years)} \).

Answer 1

The Correct Option is C

Hitesh withdrew Rs.9,000 on 1 superscript{st} November, 2022. Interest on drawings for 5 months (November to March): \[ {Interest: } Rs.9,000 \times \frac{8}{100} \times \frac{5}{12} = Rs.300 \]