Question
Ravi, Mohan, and Sunil started a firm by investing in
the ratio 11:9:5 respectively. Sunil is the active partner managing the business, so he receives 10% of the total profit for his efforts. If the profit at the end of the year is Rs. 16,000, what is Sunil’s total share of the profit?Solution
ATQ,
Profit share of Sunil for being active working partner = 0.10 × 16000 = Rs. 1,600 Profit share of Sunil for his investments = 16000 × 0.90 × (5/25) = Rs. 2,880 So, the total profit earned by Sunil = 1600 + 2880 = Rs. 4,480
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