New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    'A' and 'B' began a business with investments of Rs.

    8,000 and Rs. 15,500, respectively. After five months, 'A' increased his investment by 50%, while 'B' reduced his investment by Rs. 3,100. At the end of the year, the total profit earned by the business was Rs. 55,800. What is the profit share of 'A'?
    A Rs. 27,400 Correct Answer Incorrect Answer
    B Rs. 22,240 Correct Answer Incorrect Answer
    C Rs. 24,000 Correct Answer Incorrect Answer
    D Rs. 21,450 Correct Answer Incorrect Answer

    Solution

    Ratio of profit shares of 'A' and 'B' at the end of the year = {8000 X 5 + (8000 X 7 X 1.5)}:{15500 X 5 + 12400 X 7} = {40000 + 84000}: {77500 + 86800} = 124000:164300 = 40:53 So, profit share of 'A' = 55800 X (40/93) = Rs. 24,000

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