Multiple choice

A and B start a business and invest Rs. 20,000 and Rs. 30,000 respectively. B is an active partner and he gets 25% of the profit separately. If their business yields them a total of Rs. 30,000 as profit, what is the share of B at the end of a year?

  1. Rs. 21000

  2. Rs. 21500

  3. Rs. 20000

  4. Rs. 18000

  5. none of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Total investment ratio A:B = 20000:30000 = 2:3. B's bonus as active partner = 25% of 30000 = 7500. Remaining profit = 30000 - 7500 = 22500, split in ratio 2:3, so B gets (3/5) × 22500 = 13500. Total for B = 7500 + 13500 = 21000. This matches option A exactly.

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