Match List-I with List-II

List-I	List-II
Interest on Drawings	Time (Month)
(A) When the amount is withdrawn at the beginning of each month.	(I) 6 months
(B) When the amount is withdrawn at the end of each month.	(II) 6.5 months.
(C) When the amount is withdrawn at the middle of each month.	(III) 5.5 months.
(D) When the amount is withdrawn at the end of each quarter.	(IV) 4.5 months.

Choose the correct answer from the options given below:

When interest is charged on drawings, the average period for which the drawings remain with the partner needs to be calculated. This depends on the timing of withdrawals during the year.

Let's determine the average period for each case (assuming a 12-month year):

Case A: Beginning of each month

Withdrawal on 1st of each month remains with partner for:

• January 1: 12 months
• February 1: 11 months
• ... and so on till
• December 1: 1 month

Average period = $\frac{12 + 11 + 10 + ... + 1}{12} = \frac{78}{12}$ = 6.5 months

Case B: End of each month

Withdrawal on last day of each month remains with partner for:

• January 31: 11 months
• February 28/29: 10 months
• ... and so on till
• December 31: 0 months

Average period = $\frac{11 + 10 + 9 + ... + 0}{12} = \frac{66}{12}$ = 5.5 months

Case C: Middle of each month

When withdrawn in the middle of each month, the average period falls between beginning and end of month cases.

Average period = $\frac{6.5 + 5.5}{2}$ = 6 months

Case D: End of each quarter

Withdrawal at end of each quarter remains with partner for:

• End of Q1: 9 months
• End of Q2: 6 months
• End of Q3: 3 months
• End of Q4: 0 months

Average period = $\frac{9 + 6 + 3 + 0}{4} = \frac{18}{4}$ = 4.5 months

Matching:

• (A) → (II) 6.5 months
• (B) → (III) 5.5 months
• (C) → (I) 6 months
• (D) → (IV) 4.5 months

Correct Answer: Option 3