Question

Sheena’s interest on drawings will be:

• A. 5,000
• B. 4,000
• C. 3,000
• D. 2,000

Hint:

Always check if the time of withdrawal and rate of interest are given on an annual or monthly basis.

Answer 1

The Correct Option is C

The calculation for interest on drawings is represented by the formula: \[ \text{Interest on Drawings} = \text{Total Drawings} \times \text{Rate of Interest} \times \text{Time}. \] To determine the interest, input the relevant figures into this formula.