Multiple choice

A and B started a business investing Rs. 18000 and Rs. 16000 respectively. After 6 months, B withdrew half of his investment. If after a year, the total profit was Rs. 39625, what was A’s share in profit ?

  1. 23675

  2. 23775

  3. 24575

  4. 18775

  5. None of these

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Profit sharing ratio = Investment × Time. A invested Rs. 18000 for 12 months = 216000. B invested Rs. 16000 for 6 months + Rs. 8000 for 6 months = 96000 + 48000 = 144000. Ratio A:B = 216000:144000 = 3:2. Total profit Rs. 39625, so A's share = (3/5) × 39625 = Rs. 23775. Option B is correct.