In borrowings calculation, since we were already given the weighted average borrowing rate we should directly calculate on [20+(50*3)]*.09*4/12 Why have they averaged out the borrowings too?
I would have done 9% on 20 for 4 months, 70 for 3 months, 120 for 2 months and 170 for 1 month. I don’t understand your formula, but is that what you are saying?