📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    X and Y commenced a business jointly, contributing

    initial capital amounts of Rs. 20,000 and Rs. 50,000, respectively. X, being the active partner, received 10% of the annual profit, with the remainder distributed between them based on their investments. Given that the difference between their total profits is Rs. 2200, determine the total profit (in Rs.).
    A Rs.5700 Correct Answer Incorrect Answer
    B Rs.7652 Correct Answer Incorrect Answer
    C Rs.7700 Correct Answer Incorrect Answer
    D Rs.2600 Correct Answer Incorrect Answer
    E none of these Correct Answer Incorrect Answer

    Solution

    ATQ, Ratio of investment of X and Y = 20000:50000 = 2:5 Let, total profit at the end of the year = Rs.100a X share = {100a × 0.1 + 0.9 × 100a × 2/(5 + 2)} = (10a + 180a/7) = Rs. (250a/7) Yshare = {5/(2 + 7)} × 0.9 × 100a = Rs. (450a/7) According to the question, (450a/7) – (250a/7) = 2200 Or, 200a/7 = 2200 Or, a = (2200/200) × 7 Or, a = 77 Or, 100a = 7700 Therefore, total profit received = Rs.7700

    Practice Next
    More Partnership Questions
    ask-question