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When interest on drawings is ₹1300 and he withdrew a fixed amount in the beginning of each month. (Interest on drawings @10%p.a.) Calculate the amount of Ram's monthly drawings for the year ended 31st March,2023.?
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When interest on drawings is ₹1300 and he withdrew a fixed amount in t...
Calculation of Monthly Drawings of Ram

Given:
- Interest on drawings = ₹1300
- Interest rate = 10%
- Time period = 1 year

Step 1: Calculation of Total Drawings
Let the fixed amount of monthly drawings be x.
Total number of months in a year = 12
Total drawings in a year = 12x

Step 2: Calculation of Interest on Drawings
Interest on drawings is calculated on the average drawings during the year.
Average drawings = (Opening balance + Closing balance) / 2
As the amount of monthly drawings is fixed, the opening and closing balances are also fixed.
Opening balance = x
Closing balance = 0 (as all the drawings are done in the beginning of each month)
Average drawings = (x + 0) / 2 = x / 2
Interest on drawings = (x / 2) * 10% = 0.1x / 2

Step 3: Calculation of Monthly Drawings
Total drawings = 12x
Interest on drawings = ₹1300
0.1x / 2 = ₹1300
x = ₹26000 / 0.1
x = ₹260000

Therefore, Ram's monthly drawings for the year ended 31st March, 2023 is ₹26,000.
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When interest on drawings is ₹1300 and he withdrew a fixed amount in the beginning of each month. (Interest on drawings @10%p.a.) Calculate the amount of Ram's monthly drawings for the year ended 31st March,2023.?
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