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A, B and C invest in a business in the ratio 4 ∶ 5 ∶ 7. C is a sleeping partner, so his share of profits will be half of what it would have been if he were a working partner. If they make Rs 36,000 profit of which 25% is reinvested in the business, how much does B get (in Rs)?
- a)7560
- b)10800
- c)8640
- d)9200
Correct answer is option 'B'. Can you explain this answer?
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Verified Answer
A, B and C invest in a business in the ratio 4 5 7. C is a sleeping ...
Since C is the sleeping partner and his share of profit will be half of what it would have been if he were a working partner
⇒ Ratio in which the profit will be shared = 4 ∶ 5 ∶ 7/2 = 8 : 10 : 7
Profit = 36000 and when 25% is reinvested then
Profit to be shared between A, B & C = 36000 × 0.75 = Rs. 27000
∴ B’s share = 10/25 × 27000 = Rs. 10800
Most Upvoted Answer
A, B and C invest in a business in the ratio 4 5 7. C is a sleeping ...
Given information:
- Ratio of investment: A:B:C = 4:5:7
- C's share of profits as a sleeping partner is half of what it would have been if he were a working partner.
- Total profit = Rs 36,000
- 25% of the profit is reinvested in the business
To find: How much B gets as his share of the profit
Calculation:
1. Let's assume the ratio of profits for A, B, and C as working partners is x, y, and z, respectively.
2. According to the given information, z (C's share) is half of what it would have been if he were a working partner. So, z = y/2.
3. The total profit is given as Rs 36,000. Therefore, x + y + z = 36,000.
4. We can rewrite the ratio of investment as 4x : 5y : 7z.
5. Since C is a sleeping partner, his investment does not affect the profits directly. So, we can consider the ratio of investment as 4x : 5y.
6. Since the total investment ratio is 9 (4x + 5y = 9), we can find the value of y as (9/5)x.
7. Substituting the value of y in terms of x, we get 4x + 5(9/5)x = 9.
Simplifying the equation, we get 4x + 9x = 9.
Combining like terms, we get 13x = 9.
Dividing both sides by 13, we get x = 9/13.
8. Substituting the value of x in the equation x + y + z = 36,000, we can solve for y and z.
(9/13) + y + y/2 = 36,000.
Multiplying both sides by 13, we get 9 + 13y + 6y = 468,000.
Combining like terms, we get 19y = 468,000 - 9.
Simplifying, we get 19y = 467,991.
Dividing both sides by 19, we get y = 24,631.
9. Now, we can find the value of z using the equation z = y/2.
Substituting the value of y, we get z = 24,631/2 = 12,315.5.
10. The total profit is Rs 36,000. 25% of this profit (0.25 * 36,000) is reinvested in the business, which is 9,000.
11. The remaining profit available for distribution is 36,000 - 9,000 = 27,000.
12. B's share of the profit is y, which is 24,631.
13. B's share after deducting the reinvestment is 24,631 - 9,000 = 15,631.
Therefore, B gets Rs 15,631 as his share of the profit.
- Ratio of investment: A:B:C = 4:5:7
- C's share of profits as a sleeping partner is half of what it would have been if he were a working partner.
- Total profit = Rs 36,000
- 25% of the profit is reinvested in the business
To find: How much B gets as his share of the profit
Calculation:
1. Let's assume the ratio of profits for A, B, and C as working partners is x, y, and z, respectively.
2. According to the given information, z (C's share) is half of what it would have been if he were a working partner. So, z = y/2.
3. The total profit is given as Rs 36,000. Therefore, x + y + z = 36,000.
4. We can rewrite the ratio of investment as 4x : 5y : 7z.
5. Since C is a sleeping partner, his investment does not affect the profits directly. So, we can consider the ratio of investment as 4x : 5y.
6. Since the total investment ratio is 9 (4x + 5y = 9), we can find the value of y as (9/5)x.
7. Substituting the value of y in terms of x, we get 4x + 5(9/5)x = 9.
Simplifying the equation, we get 4x + 9x = 9.
Combining like terms, we get 13x = 9.
Dividing both sides by 13, we get x = 9/13.
8. Substituting the value of x in the equation x + y + z = 36,000, we can solve for y and z.
(9/13) + y + y/2 = 36,000.
Multiplying both sides by 13, we get 9 + 13y + 6y = 468,000.
Combining like terms, we get 19y = 468,000 - 9.
Simplifying, we get 19y = 467,991.
Dividing both sides by 19, we get y = 24,631.
9. Now, we can find the value of z using the equation z = y/2.
Substituting the value of y, we get z = 24,631/2 = 12,315.5.
10. The total profit is Rs 36,000. 25% of this profit (0.25 * 36,000) is reinvested in the business, which is 9,000.
11. The remaining profit available for distribution is 36,000 - 9,000 = 27,000.
12. B's share of the profit is y, which is 24,631.
13. B's share after deducting the reinvestment is 24,631 - 9,000 = 15,631.
Therefore, B gets Rs 15,631 as his share of the profit.
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A, B and C invest in a business in the ratio 4 5 7. C is a sleeping partner, so his share of profits will be half of what it would have been if he were a working partner. If they make Rs 36,000 profit of which 25% is reinvested in the business, how much does B get (in Rs)?a)7560b)10800c)8640d)9200Correct answer is option 'B'. Can you explain this answer?
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