Average Due Date - Doubt ??

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CA Final
3331 Points Joined July 2009

X has accepted the following bills drawn by sumnath :

 

On 8th March     

 

Rs. 4000

For 4 Months

On 16th March   

 

Rs. 5000

For 3 Months

On 7th April

Rs. 6000

For 5 Months

On 17th May

Rs. 5000

For 3 Months

 

He wants to pay all the bills on single day. Find out this date. Interest is charged is @ 18 % p.a and X wants to save Rs. 150 by way of interest. Find out the date on which he has to effect the payment to save interest of Rs. 150.

 

Can any one please tell me how to deal with  the above highlighted sentence.

 

Please help me out. Tomorrow is my Exam.

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On 08 November 2010 at 15:33 Report
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X wants to save interest of ` 150. The yearly interest is ` 20,000*18%  = ` 3,600

Assume that days corresponding to interest of `150 are Y. Then 3,600 * Y/365 = ` 150

or , Y = 150*365/3600 = 15.2 days or 15 days (approx.)

Hence if X wants to save `150 by way of interest, he/she should pre-pone the payment of amount involved by 15 days from the average due date. 

 

 

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On 08 November 2010 at 16:05
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CA Final
3331 Points Joined July 2009

Thank you Friend, I am very gratefull to you, Thank you so much again.

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On 08 November 2010 at 16:22
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You're welcome and All the Best for your exams 

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On 08 November 2010 at 16:35


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