Question
Akash and Bhanu started a business with initial investments
of Rs. 1,200 and Rs. 2,000 respectively. After one year, Akash increased his investment by Rs. 600, while Bhanu reduced his investment by Rs. 500. If the total profit at the end of two years is Rs. 3,900, what is Akash’s share of the profit?Solution
ATQ,
Ratio of profit shares of 'Akash' to 'Bhanu' at the end of 2 years:
= [1,200 × 1 + (1,200 + 600) × 1]:[2,000 × 1 + (2,000 - 500) × 1]
= (1,200 + 1,800) :(2,000 + 1,500)
= 3,000:3,500 = 6:7
So, profit share of 'Akash' = (6/13) × 3,900 = Rs.1,800
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