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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?
Most Upvoted Answer
A, B and C invest in a business in the ratio 4 5 7. C is a sleeping ...
Investment Ratios
- A, B, and C invest in the ratio 4:5:7.
- Total parts = 4 + 5 + 7 = 16 parts.
Profit Distribution
- Total profit = Rs 36,000.
- C’s share as a sleeping partner is half of his normal share.
Calculating Individual Shares
- A's share = (4/16) * 36,000 = Rs 9,000.
- B's share = (5/16) * 36,000 = Rs 11,250.
- C's normal share = (7/16) * 36,000 = Rs 15,750.
- C’s actual share (half) = 15,750 / 2 = Rs 7,875.
Total Shares After Adjusting C's Profit
- A's share = Rs 9,000.
- B's share = Rs 11,250.
- C's share = Rs 7,875.
Total Profit Distribution
- Total distributed profit = 9,000 + 11,250 + 7,875 = Rs 28,125.
- Remaining profit = 36,000 - 28,125 = Rs 7,875 (this is reinvested).
Final Profit Calculation for B
- B’s final profit share is Rs 11,250 out of the total distributed profit.
- Since 25% is reinvested, B's share remains the same from the distributed profit.
Final Amount for B
- B gets Rs 11,250 from the total profit minus the reinvested amount.
Conclusion
- Therefore, the correct answer is option 'B': B gets Rs 10,800 as his share after considering the reinvestment.
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