Multiple choice

A, B and C promise to pay D jointly the sum of Rs. 6,000. C is compelled to pay as A is insolvent, but his assets are suficient to pay 1/2 of his debts. C is entitled to receive

  1. Rs. 1,000 from A and Rs. 2,000 from B

  2. Rs. 1,000 from A and Rs. 2,500 from B

  3. Rs. 500 from A and Rs. 2,500 from B

  4. none of these

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

 C is entitled to get Rs 1,000 from A and Rs 2,500 from B.  A , B and C are entitled to pay Rs 2,000 each to D. ( 1/3 X 6,000 )But A can pay only half of Rs 2,000 as he is insolvent - 1/2 X 2,000 =  1,000 Rs.  Amount left to be paid ( 6,000 - 1,000 = Rs 5,000 )B would bear half of Rs 5,000 ( 1/2 X 5,000 ) = Rs 2,500. B would pay it to C. As C has paid the whole amount he would get Rs 1,000 from A  ( insolvent )and Rs 2,500 from B. 

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