Multiple choice

A and B start a business with Rs. 2500 and Rs. 3500 respectively. After 4 months C joins the business with Rs. 4500. At the end of the year, C gets Rs. 900 as his share of profit then find the difference between profit got by B and A?

  1. Rs. 600

  2. Rs. 300

  3. Rs. 1200

  4. Rs. 1500

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

Investment ratios: A = 2500*12 = 30000, B = 3500*12 = 42000, C = 4500*8 = 36000. Ratio A:B:C = 30:42:36 = 5:7:6. C's share is 6 parts = 900, so 1 part = 150. Difference between B and A is 7 - 5 = 2 parts. 2 * 150 = 300.

AI explanation

Calculate the effective capital for each person by multiplying their investment by the time period in months: A is 2500 * 12 = 30000, B is 3500 * 12 = 42000, and C is 4500 * 8 = 36000. This gives a profit sharing ratio of 30 to 42 to 36, which simplifies to 5 to 7 to 6, meaning C's 6 parts equal his profit of 900, so one part is 150. The difference between B's and A's profit is 7 minus 5, which is 2 parts, making the difference 2 * 150 = 300.