Multiple choice

Julie and Rukhsana started a Home Service business with Rs. 40,000 and Rs. 80,000, respectively. Rukhsana got transferred to other town and had to leave the business after 9 months; but she placed Suhana immediately with an investment of Rs. 1,60,000. At the end of the year, the business showed a profit of Rs. 98,000. What is the difference between Suhana's and Julie's share in this profit?

  1. Rs. 0

  2. Rs. 3000

  3. Rs. 4000

  4. Rs. 6000
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Julie investment: 40k * 12 = 480k. Rukhsana: 80k * 9 = 720k. Suhana: 160k * 3 = 480k. Ratio J:R:S = 480:720:480 = 2:3:2. Total profit 98k. Julie share = 2/7 * 98k = 28k. Suhana share = 2/7 * 98k = 28k. Difference = 0.

AI explanation

Julie's effective capital is 40000 * 12 = 480000, Rukhsana's is 80000 * 9 = 720000, and Suhana's is 160000 * 3 = 480000. Their profit sharing ratio is therefore 480000 : 720000 : 480000, which simplifies to 2 : 3 : 2. Since both Julie and Suhana have 2 parts in the ratio, their shares of the profit are identical, making the difference between them 0.

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