Multiple choice

P started a business in 1990 by investing Rs.25,000. She invested Rs. 10,000 as additional amount in 1991 and her friend Q joined her with an amount of Rs.35,000. P invested another Rs. 10,000 in 1992 and R joined them with Rs. 35,000. At the end of these 3 years, they earned a profit of Rs. 150,000. Find Q's share?

  1. Rs.50,000

  2. Rs.65,000

  3. Rs.75,000

  4. Rs.15,000

  5. None of these
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A Correct answer
Explanation

P's investment: 25k for 3 years, 10k for 2 years, 10k for 1 year = 75k + 20k + 10k = 105k. Q's investment: 35k for 2 years = 70k. R's investment: 35k for 1 year = 35k. Total ratio P:Q:R = 105:70:35 = 3:2:1. Q's share = (2/6) * 150,000 = 50,000.

AI explanation

The ratio of profit shares equals the ratio of effective capital calculated over the 3 years. P's effective capital is 25000 times 1 plus 35000 times 1 plus 45000 times 1, which totals 105000, Q's is 35000 times 2, which is 70000, and R's is 35000 times 1. Q's share of the Rs. 150000 profit is 70000 divided by 210000 of 150000, which results in Rs. 50000.

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