Multiple choice

A and B started a business by investing Rs. 4000 and Rs. 5000, respectively. A is an active partner and B is a sleeping partner. A gets 10% of profits for being active, the rest being divided in proportion to their capitals out of a total profit of Rs. 18,000. The money received by B is

  1. Rs. 7200

  2. Rs. 8000

  3. Rs. 9000

  4. Rs. 9600

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

Total profit = 18000. A gets 10% = 1800. Remaining = 16200. Ratio of capital = 4000:5000 = 4:5. B's share = (5/9) * 16200 = 5 * 1800 = 9000.

AI explanation

First, deduct the active partner's commission from the total profit to find the remaining profit. A receives 10 percent of Rs. 18000, which is Rs. 1800, leaving Rs. 16200 to be divided in the capital ratio of 4000 to 5000, or 4 to 5. B's share of the remaining profit is calculated as (5 divided by 9) x 16200, which equals Rs. 9000.