Edit MetaData
2 years, 10 months ago
2 years, 10 months ago
Hi Sai Raina,
It is mentioned that 16% profit is received by A for managing the business. Therefore, 84% of the profit is received by all of them based on their invested capital.
Profit divided based on the capital will be in the ratio
A : B : C = 3000(12) : 2500(8) : 2800(5) = 18 : 10 : 7
Let the total profit be 'P'.
It is given,
0.16P + (18/35) 0.84P = 888
Solving we get, P = Rs 1500
Profit earned by B = (10/35) 0.84 * 1500 = Rs 360
Profit earned by C = (7/35) 0.84 * 1500 = Rs 252
Hope this helps!