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If a partner withdraws an equal amount at the end of every month what is the average period for calculating interest on drawings?

Answer and explanation

Correct answer: (5.5) months

For withdrawals at month end the first amount remains for (11) months and the last for (0) months. The average period is (5.5) months.

Related tags

PartnershipAdjustmentsAverage PeriodPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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