Question

Shiv, Ravi, and Roshan are partners. During 2023–24, Shiv withdrew ₹15,000 in the middle of each half-year; Ravi withdrew ₹20,000 for personal insurance; Roshan withdrew ₹12,000 from his capital. What is the interest on drawings at 6% p.a.?

Hint:

If timing not given:

Assume mid-year (6 months)
Mid-half-year drawings → use actual months (9 and 3)

Answer 1

Concept: Interest on drawings is charged on amounts withdrawn for personal use. Formula: \[ \text{Interest} = \text{Amount} \times \text{Rate} \times \text{Time} \] Use average period method where timing is not exact.
Step 1: Shiv’s drawings. Shiv withdrew ₹15,000 in the middle of each half-year. That means:

Two drawings of ₹15,000 each
Mid-first half → 9 months
Mid-second half → 3 months
Total interest: \[ (15{,}000 \times 6% \times \frac{9}{12}) + (15{,}000 \times 6% \times \frac{3}{12}) \] \[ = 675 + 225 = 900 \] \[ Shiv’s interest = ₹900 \]
Step 2: Ravi’s drawings. ₹20,000 withdrawn for personal insurance. This is a personal expense paid by firm → treated as drawings. Assume mid-year withdrawal (no timing given): \[ \text{Interest} = 20{,}000 \times 6% \times \frac{6}{12} = 600 \] \[ Ravi’s interest = ₹600 \]
Step 3: Roshan’s drawings. ₹12,000 withdrawn from capital (personal use). Timing not specified → assume mid-year. \[ \text{Interest} = 12{,}000 \times 6% \times \frac{6}{12} = 360 \] \[ Roshan’s interest = ₹360 \] Final Answer: \[ \boxed{ \begin{aligned} \text{Shiv} &= ₹900
\text{Ravi} &= ₹600
\text{Roshan} &= ₹360 \end{aligned} } \]