Multiple choice

A, B and C started a business with the investment of Rs. 100000, Rs. 140000 and Rs. 200000 respectively. After 3-month, C left the business. 7 months after C left the business, B also left the business. B and C took their investments with them. At the end of the year, C received his share of profit as Rs. 1155. What is the total share of profits of A and B ?

  1. Rs. 6150

  2. Rs. 5005

  3. Rs. 4995

  4. Rs. 5555

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

In partnership, profit ratio = investment × time. A invested Rs. 100000 for 12 months = 1200000. B invested Rs. 140000 for 10 months (left 7 months after C left at month 3) = 1400000. C invested Rs. 200000 for 3 months = 600000. Ratio = 1200000:1400000:600000 = 6:7:3. C's share = 3/16 of total. 3/16 × Total = 1155 → Total = 6160. A + B share = (6+7)/16 × 6160 = 13/16 × 6160 = 5005. Key is carefully tracking each partner's investment duration.