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A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:
- a)Rs.69900
- b)Rs.11400
- c)Rs.17100
- d)Rs.7200
Correct answer is option 'A'. Can you explain this answer?
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A and B enter into a venture sharing profit and losses in the ratio 2:...
Solution:
Given, ratio of profit and losses = 2:3
Let the initial investment of A = x
Then, initial investment of B = (3x/2)
Goods purchased by A = Rs 45,000
Expenses incurred by A = Rs 13,500
Expenses incurred by B = Rs 5200
Total cost = Rs (45000+13500+5200) = Rs 63,700
Total selling price = Rs 85,000
Remaining stock taken over by B at Rs 7200
Remaining stock value = Rs 7200
Total amount received by A and B = Rs (85000+7200) = Rs 92,200
Calculation of profit:
Total profit = Selling price - Total cost
= Rs (92000 - 63700)
= Rs 28,500
Calculation of profit share of A and B:
Profit is to be shared in the ratio of 2:3
Profit share of A = (2/5) x 28,500
= Rs 11,400
Profit share of B = (3/5) x 28,500
= Rs 17,100
Calculation of final remittance to be made by B to A:
Initial investment of A = x
Initial investment of B = (3x/2)
Total investment = (5x/2)
Profit share of A = Rs 11,400
Profit share of B = Rs 17,100
Total profit share = Rs (11400+17100) = Rs 28,500
Final profit share of A = (2/5) x 28,500
= Rs 11,400
Final profit share of B = (3/5) x 28,500
= Rs 17,100
Amount to be remitted by B to A = (Final profit share of A - Initial investment of A) = (Rs 11,400 - x)
= (11400 - x)
As per the question, the remaining stock value taken over by B = Rs 7200
So, (3x/2) + 7200 = 85000
On solving, we get x = Rs 37,800
Therefore, Amount to be remitted by B to A = (11400 - 37800)
= Rs 69,900
Hence, the final remittance to be made by B to A is Rs 69,900.
Given, ratio of profit and losses = 2:3
Let the initial investment of A = x
Then, initial investment of B = (3x/2)
Goods purchased by A = Rs 45,000
Expenses incurred by A = Rs 13,500
Expenses incurred by B = Rs 5200
Total cost = Rs (45000+13500+5200) = Rs 63,700
Total selling price = Rs 85,000
Remaining stock taken over by B at Rs 7200
Remaining stock value = Rs 7200
Total amount received by A and B = Rs (85000+7200) = Rs 92,200
Calculation of profit:
Total profit = Selling price - Total cost
= Rs (92000 - 63700)
= Rs 28,500
Calculation of profit share of A and B:
Profit is to be shared in the ratio of 2:3
Profit share of A = (2/5) x 28,500
= Rs 11,400
Profit share of B = (3/5) x 28,500
= Rs 17,100
Calculation of final remittance to be made by B to A:
Initial investment of A = x
Initial investment of B = (3x/2)
Total investment = (5x/2)
Profit share of A = Rs 11,400
Profit share of B = Rs 17,100
Total profit share = Rs (11400+17100) = Rs 28,500
Final profit share of A = (2/5) x 28,500
= Rs 11,400
Final profit share of B = (3/5) x 28,500
= Rs 17,100
Amount to be remitted by B to A = (Final profit share of A - Initial investment of A) = (Rs 11,400 - x)
= (11400 - x)
As per the question, the remaining stock value taken over by B = Rs 7200
So, (3x/2) + 7200 = 85000
On solving, we get x = Rs 37,800
Therefore, Amount to be remitted by B to A = (11400 - 37800)
= Rs 69,900
Hence, the final remittance to be made by B to A is Rs 69,900.
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A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer?
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A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer?.
A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer?.
Solutions for A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
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Here you can find the meaning of A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer?, a detailed solution for A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? has been provided alongside types of A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice A and B enter into a venture sharing profit and losses in the ratio 2:3. Goods purchased by A for Rs 45,000. Expenses incurred by A Rs 13500 and by B Rs 5200. B sold the goods for Rs 85,000. Remaining stock taken over by B at Rs 7200. What will be the final remittance to be made by B to A:a)Rs.69900b)Rs.11400c)Rs.17100d)Rs.7200Correct answer is option 'A'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
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