Multiple choice

A and B start a small scale business together. A invests Rs. 15,000 for the entire duration of the business, while B invests for only half of the duration. At the end of the year, the total profit is Rs. 90,000. If A receives Rs. 36,000 as his share of profit, what is the amount invested by B?

  1. Rs. 15,000

  2. Rs. 25,000

  3. Rs. 30,000

  4. Rs. 45,000

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

A invests 15000 for 12 months (180000 unit-months). B invests X for 6 months (6X unit-months). Profit ratio = 180000 : 6X = 30000 : X. A's share = 36000, B's share = 90000 - 36000 = 54000. Ratio 36000/54000 = 2/3. So 30000/X = 2/3, 2X = 90000, X = 45000.