Question

A savings bank account was opened by Mrs. Roy on 3.7.12 and closed on 31.01.13. The entries in the passbook of Mrs. Roy were as given below:

Date	Particulars	Debit (In Rs)	Credit (In Rs)	Balance (In Rs)
3.7.12	By cash		690.00
15.7.12	By cash		1,153.00
27.8.12	By Cheque		2,468.00
30.8.12	To Cash	946.00
12.9.12	To Cheque	1,000.00
20.11.12	By Cheque		3,000.00
26.11.12	By cash		750.00
28.11.12	To Cash	1,570.00

(i) By finding the balance on different dates of entries calculate the interest earned by Mrs. Roy, For the period she had this savings bank account, at the rate of 6% p.a.

(ii) Also, calculate the interest when the principal for every month is taken as the nearest multiple of 10.

Answer 1

Balance on 3.7.12 = Rs. 690

Balance on 15.7.12 = Rs. 690 + Rs. 1,153 = Rs. 1,843

Balance on27.8.12 = Rs. 1,843 + Rs. 2,468 = Rs. 4,311

Balance on 30.8.12 = Rs. 4,311 – Rs. 946 = Rs. 3,365

Balance on12.9.12 = Rs. 3,365 – Rs. 1,000 = Rs. 2,365

Balance on 20.11.12 = Rs. 2,365 + Rs. 3,000 = Rs. 5,365

Balance on 26.11.12 = Rs. 5,365 + Rs750 = Rs. 6,115

Balance on 28.11.12 = Rs. 6,115 – Rs. 1,570 = Rs. 4,545

(i)

Minimum balance for July = Rs.690

Minimum balance for Aug. = Rs. 1,843

Minimum balance for Sept.= Rs. 2,365

Minimum balance for Oct.= Rs. 2,365

Minimum balance for Nov.= Rs. 2,365

Minimum balance for Dec.= Rs. 4,545

Minimum balance for Jan. = Rs. 0

Total principal = Rs. 14,173

(ii)

Minimum balance for July = Rs. 690

Minimum balance for Aug. = Rs. 1,840

Minimum balance for Sept.= Rs. 2,370

Minimum balance for Oct.= Rs. 2,370

Minimum balance for Nov.= Rs. 2,370

Minimum balance for Dec.= Rs. 4,550

Minimum balance for Jan. = Rs. 0

Total principal = Rs. 14,190