Question
P and Q invest Rs. 3000 and Rs. 4500. After 3 months, P
increases his capital by Rs. 1500. If the total annual profit is Rs. 2300, find the difference between their profit shares.Solution
ATQ,
P’s time-weighted capital = (3000 × 3) + (3000 + 1500) × 9 = 9000 + 4500 × 9 = 9000 + 40500 = 49500 Q’s time-weighted capital = 4500 × 12 = 54000 Ratio (P : Q) = 49500 : 54000 = 11 : 12 Difference = 2300 × (12 − 11) / (11 + 12) = 2300 × 1/23 = Rs. 100
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