Multiple choice

P started a business with Rs 25000. Q joined him after 4 months with Rs 20000. After 2 more months, P withdrew Rs 10000 of his capital and 2 more months later, Q brought in Rs 10000 more. What should be the ratio in which they should share their profits at the end of the year?

  1. $2:3$
  2. $6:5$
  3. $4:7$
  4. $5:4$
  5. $None of these$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

P's capital: 25000 × 12 = 300000, minus 10000 × 6 = 60000 (withdrawn for last 6 months), effective = 240000. Q's capital: 20000 × 6 = 120000 (joined after 4 months), plus 10000 × 2 = 20000 (added for last 2 months), total = 140000. Ratio = 240000:140000 = 24:14 = 12:7. Wait - let me recalculate: P invested 25000 for 6 months, then 15000 for 6 months = 25000×6 + 15000×6 = 150000 + 90000 = 240000. Q invested 20000 for 6 months, then 30000 for 2 months = 20000×6 + 30000×2 = 120000 + 60000 = 180000. Ratio = 240000:180000 = 4:3. That's not option B. Let me check the timeline differently: P has 25000 for months 1-6 (25000×6), then 15000 for months 7-12 (15000×6) = 150000+90000=240000. Q joins after 4 months (month 5), has 20000 for months 5-8 (20000×4), then 30000 for months 9-12 (30000×4) = 80000+120000=200000. Ratio 240000:200000 = 6:5. ✓