Multiple choice

Elon and Amber start a business together with respective investments Rs. 30,000 and Rs. 40,000. At the end of twelve years, they earn a total profit of Rs. 21,00, 000. How much should be Amber's share (in Rs.) from the total profit?

  1. 10,00,000

  2. 15,00,000

  3. 12,00,000

  4. 9,00,000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Profit is shared in the ratio of investments. Elon and Amber invested 30,000 and 40,000, so the ratio is 3:4. Amber's share is (4 / (3 + 4)) * 21,00,000 = 4/7 * 21,00,000 = 12,00,000.

AI explanation

By the partnership principle, the profit ratio equals the investment ratio of 30000 : 40000, which simplifies to 3 : 4. Amber's portion is 4 / (3 + 4) of the total profit of 2100000, calculated as 2100000 * 4 / 7. The result is Rs. 12,00,000.

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