Multiple choice

Passage

Directions: The following question consists of quantities, Quantity I and Quantity II. You are to compare the two quantities and find the correct relationship between both the quantities.

Renu, Pritam and Sunil entered into a partnership. Renu invested Rs. 4000, Pritam invested Rs. 3000 and Sunil invested Rs. 2500. Renu withdrew 50% of her invested amount after 5 months, Pritam invested 20% more of his invested amount after 8 months and Sunil invested 30% more of his invested amount after 5 months. If profit earned by Pritam at the end of year was Rs. 38400 and profit was shared in the ratio of their investment and time. Quantity I: The difference of profit between Pritam and Sunil. Quantity II: The difference of profit between Sunil and Renu.

  1. Quantity I > Quantity II

  2. Quantity I < Quantity II

  3. Quantity I ≤ Quantity II

  4. Quantity I ≥ Quantity II

  5. Quantity I = Quantity II or No relation
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Calculate the effective investment for each person: Renu (4000*5 + 2000*7 = 34000), Pritam (3000*8 + 3600*4 = 38400), Sunil (2500*5 + 3250*7 = 35250). Given Pritam's profit is 38400, the multiplier is 1. Renu's profit is 34000 and Sunil's is 35250. Quantity I (Pritam - Sunil) = 38400 - 35250 = 3150. Quantity II (Sunil - Renu) = 35250 - 34000 = 1250. Thus, I > II.

AI explanation

Using the partnership profit ratio formula of investment multiplied by time, Renu's effective capital is Rs. 4,000 for 5 months plus Rs. 2,000 for 7 months, equaling 34,000. Pritam's effective capital is Rs. 3,000 for 12 months plus Rs. 600 for 4 months, totaling 38,400, while Sunil's effective capital is Rs. 2,500 for 12 months plus Rs. 750 for 7 months, totaling 35,250. The profit ratio of Pritam to Sunil to Renu is 38,400 to 35,250 to 34,000, and since Pritam's profit of Rs. 38,400 equals 384 ratio units, 1 ratio unit is worth Rs. 100. Quantity I, the difference between Pritam and Sunil, is 3,150 minus 35,250 tenths, giving Rs. 3,150; Quantity II, the difference between Sunil and Renu, is Rs. 1,250. Therefore, Quantity I is greater than Quantity II.

Keep practicing — related questions