Multiple choice

Directions: Study the given information carefully and answer the question that follows. P and Q entered into a partnership agreement and invested capitals in the respective ratio of 6 : 5. 4 months after the start of business, P withdrew 1/6th of his capital amount and Q withdrew 1/5th of his capital amount for their personal use. What would be P's share in the profit, if the profit earned at the end of the year was Rs. 783?

  1. Rs. 482

  2. Rs. 432

  3. Rs. 427

  4. Rs. 450

  5. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

P's investment: (6 * 4) + (5 * 8) = 24 + 40 = 64. Q's investment: (5 * 4) + (4 * 8) = 20 + 32 = 52. Ratio 64:52 = 16:13. P's share = (16/29) * 783 = 16 * 27 = 432.

AI explanation

Using the compound partnership ratio of investment multiplied by time, P's capital of 6 units applies for 4 months and 5 units for 8 months, giving a sum of 64. Q's capital of 5 units applies for 4 months and 4 units for 8 months, giving a sum of 52, so their profit ratio is 64:52 or 16:13. The total parts are 29, and P's share is 16/29 of the Rs. 783 profit. Multiplying 16/29 by 783 gives Rs. 432.

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