Question : C and D are partners. C draws a fixed amount at the beginning of every month. Interest on drawings is charged @ 10% p.a. At the end of the year, interest on C's drawings amounts to Rs 2,860. Drawings of C were:
Option 1: 5,200 per month
Option 2: 4,800 per month
Option 3: 4,400 per month
Option 4: 5,600 per month
Correct Answer: 4,400 per month
Solution :
Answer =
4,400 per month
Interest on drawings=Drawings $\times \frac{\text { Rate }}{100}\times \frac{\text { Average time }}{{\text { }}{12}}$
Rs 2,860=Drawing $\frac{10}{100} \times \frac{6.5}{12}$
$\frac{2860 \times 100 \times 12}{10 \times 6.5}$=Drawings
Drawings=52,800
Monthly drawings=4,400 per month.
Hence, the correct option is 3.
