Designer Traders obtained an unsecured loan for an amount of R208 600 at the beginning of the current financial year from ATM Bank at an interest rate of 18% per annum. 50% of the loan was repaid on 1 March 20.19 and the remainder needs to be repaid on 1 March 20.20. The interest is not capitalised but paid to the bank on the day the loan is repaid. Designer Traders current financial period ends on 31 May 20.19 and according to the extract from pre-adjustment trial balance as at 31 May 20.19, interest on loan amounted to R28 161.

The amount for interest payable to be shown in the statement of financial position for the year ended 31 May 20.19 will be?

Instructions:

1. Use a full stop to indicate any decimals (eg: 70.01)

2. Round off to the nearest R (eg: 50.56 is 51)

Answer: