Question 95

Three persons A, B and start a business with the investments in the ratio 3 : 4 : 5. After 3 months B invests an additional amount of 1/4th of his capital and C withdrew 1/5th of his capital. Ifthe annual profit in the business is ₹ 2,40,000, then B’s share in the profit (in 2) is

Solution

The year end profits are shared in the ratio made by the individual's sum total of (investment*time period) product for all the 12 months. 
Let the individual investments made by A,B,C be 3x, 4x, 5x respectively. 

A's investment remains unchanged for all 12 months. 
Hence, his Investment*Time product = 36x units

B's investment is 4x for 3 months and then 5x for 9 months
Hence, his Investment*Time product = 12x + 45x = 57x units

C's investment is 5x for 3 months and 4x for 9 months
Hence, his Investment*Time product = 51x units

Total of Investment*Time products = 144x units

Hence, share of B in annual profit of 2,40,000 = (57/144)*2,40,000 = 95,000


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