Multiple choice

A, B and C start a business and invest their share in the ratio of 3 : 7 : 6. After a certain time they distribute their profit after deducting their TDS which is 20% of the individual profit respectively. If the difference between share of A and B is Rs. 270000, Find the total profit?

  1. Rs. 1080000

  2. Rs. 1400000

  3. Rs. 135000

  4. Rs. 1450000

  5. Rs. 1350000
Reveal answer Fill a bubble to check yourself
E Correct answer
Explanation

Investment ratio is 3:7:6, so profit shares before TDS are in same ratio. Let profit shares be 3x, 7x, 6x. After 20% TDS, net shares are 0.8×3x = 2.4x, 0.8×7x = 5.6x, 0.8×6x = 4.8x. Difference between A and B = 5.6x - 2.4x = 3.2x = 270000, so x = 84375. Total profit = (3+7+6)×84375 = 16×84375 = Rs. 1350000.

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