📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      'R' and 'S' started a business by investing Rs. 12,000

      and Rs. 18,000, respectively. 'R' invested for 12 months and 'S' invested for 8 months. 'R' also works as manager in the business for which he's entitled to receive a commission of 30% out of total profit. If at the end of the year, the business earned a total profit of Rs. 30,000, then find the total amount received by 'R'.
      A Rs. 18,500 Correct Answer Incorrect Answer
      B Rs. 19,500 Correct Answer Incorrect Answer
      C Rs. 20,000 Correct Answer Incorrect Answer
      D Rs. 19,000 Correct Answer Incorrect Answer
      E Rs. 21,000 Correct Answer Incorrect Answer

      Solution

      Ratio of profit shares of 'R' and 'S' at the end of the year = {12000 X 12}:{18000 X 8} = 1:1 Total amount received by 'R' = commission earned by 'R' + Profit share of 'R' So, commission earned by 'R' = 30000 X 0.3 = Rs. 9,000 So, net profit to be distributed between 'R' and 'S' = 30000 - 9000 = Rs. 21,000 So, profit share of 'R' = 21000 X (1/2) = Rs. 10,500 So, total amount received by 'R' = 10500 + 9000 = Rs. 19,500

      Practice Next
      More Partnership Questions
      ask-question