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    Question

    'A' and 'B' started a business by investing Rs. 4,000

    and Rs. 6,000, respectively. 'A' also works as manager in the business for which he's entitled to receive a commission of 25% out of total profit. If at the end of the year, the business earned a total profit of Rs. 12,000, then find the total amount received by 'A'.
    A Rs. 5,400 Correct Answer Incorrect Answer
    B Rs. 6,000 Correct Answer Incorrect Answer
    C Rs. 6,600 Correct Answer Incorrect Answer
    D Rs. 7,200 Correct Answer Incorrect Answer
    E Rs. 4,800 Correct Answer Incorrect Answer

    Solution

    Ratio of profit shares of 'A' and 'B' at the end of the year = {4000 X 12}:{6000 X 12} = 2:3 Total amount received by 'A' = commission earned by 'A' + Profit share of 'A' So, commission earned by 'A' = 12000 X 0.25 = Rs. 3,000 So, net profit to be distributed between 'A' and 'B' = 12000 - 3000 = Rs. 9,000 So, profit share of 'A' = 9000 X (2/5) = Rs. 3,600 So, total amount received by 'A' = 3600 + 3000 = Rs. 6,600

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