Quantitative Aptitude

Partnership

842 Questions
All Capital changes, admission, and withdrawal 249 Compound partnership and time-weighted capital 186 Absolute profit or percentage difference to ratio 126 Simple partnership 100 Working and sleeping partners 79 Retirement and gaining ratio 63 Interest on capital and fixed allowances 39

Partnership Questions

Multiple choice

Sumant started a business by investing Rs. 48,000. After 6 months, Maurya joined him with a capital of Rs. 56,000. At the end of the year, the total profit was Rs. 24,529. What is the difference between the share of profits of Sumant and Maurya?

  1. Rs. 6455

  2. Rs. 7775

  3. Rs. 5545

  4. Rs. 4875

  5. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Sumant investment: 48000 * 12 = 576000. Maurya investment: 56000 * 6 = 336000. Ratio = 576:336 = 12:7. Total parts = 19. Profit per part = 24529 / 19 = 1291. Difference = (12-7) * 1291 = 5 * 1291 = 6455.

Multiple choice

Directions: In the following problem, a question is followed by three statements I, II and III. Read the question and the statements carefully and choose which statement(s) is/are required to answer the question. Ramakant, Vikram and Arjun invested in a business. What is Ramakant's profit share? I. They together invested an amount of Rs. 54,000 for a period of 1 year. II. Ramakant's investment was 25% less than Vikram's and 50% more than Arjun's. III. The profit share of Vikram is Rs. 4000 more than that of Arjun.

  1. I and II together

  2. Only II

  3. II and either I or III only

  4. II and III together

  5. None of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Multiple choice

Ankita, Deepika, Payal and Isha invested in a business in the ratio of 5 : 6 : 7 : 10. Ankita invested for a period of six months and Isha invested for a period of eleven months. But Deepika and Payal invested for 8 months. If the share of profit of Isha is Rs. 62,000 more than the share of profit of Deepika at the end of 11 months, then what is the share of profit of Ankita and Deepika, respectively?

  1. Rs. 36,000 and Rs. 48,000

  2. Rs. 24,000 and Rs. 36,000

  3. Rs. 48,000 and Rs. 30,000

  4. Rs. 30,000 and Rs. 48,000

  5. None of these
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Profit ratios: A=5*6=30, D=6*8=48, P=7*8=56, I=10*11=110. Difference between I and D = 110-48 = 62 units. 62 units = 62000, so 1 unit = 1000. Ankita = 30000, Deepika = 48000.

Multiple choice

X, Y and Z invested their capitals in the respective ratio of 4 : 8 : 5. At the end of the year, X, Y and Z received their shares of profit in the respective ratio of 2 : 3 : 4. Find the ratio of times for which they invested their money?

  1. X : Y : Z = 3 : 4 : 2

  2. X : Y : Z = 6 : 11 : 9

  3. X : Y : Z = 20 : 15 : 32

  4. X : Y : Z = 12 : 16 : 9

  5. X : Y : Z = 15 : 18 : 32
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Profit = Investment * Time. Time = Profit / Investment. X_time = 2/4 = 0.5. Y_time = 3/8 = 0.375. Z_time = 4/5 = 0.8. Ratio: 0.5 : 0.375 : 0.8. Multiply by 40: 20 : 15 : 32.

Multiple choice

A and B invest in a business with an initial investment of Rs. 25 lakh each. C joins them after 6 months with an investment of Rs. 50 lakh. At the end of the year, the business earns them a profit of Rs. 24 lakh. What will be the share of C in the profit?

  1. Rs. 4 lakh

  2. Rs. 6 lakh

  3. Rs. 8 lakh

  4. Rs. 10 lakh

  5. Rs. 12 lakh
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Investment ratio: A=25*12, B=25*12, C=50*6. Ratio = 300:300:300 = 1:1:1. Profit share for C is 1/3 of 24 lakh = 8 lakh.

Multiple choice

J, K and L initially invested some amounts in a business in the respective ratio of 3 : 2 : 1. After 9 months, J invested more amount equal to K's and L's total initial investments, K invested more amount equal to J's and L's total initial investments, and L invested more amount equal to J's and K's total initial investments. In what ratio should they share the profit at the end of the year?

  1. J : K : L = 3 : 2 : 1

  2. J : K : L = 4 : 3 : 2

  3. J : K : L = 5 : 4 : 3

  4. J : K : L = 6 : 5 : 4

  5. J : K : L = 4 : 5 : 6
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Initial: J=3, K=2, L=1. After 9 months: J adds 2+1=3, K adds 3+1=4, L adds 3+2=5. Total investment for J: (3*9) + (6*3) = 27+18=45. For K: (2*9) + (6*3) = 18+18=36. For L: (1*9) + (6*3) = 9+18=27. Ratio 45:36:27 = 5:4:3.

Multiple choice

J and K started a business, with investments of Rs, 5,00,000 and Rs. 10,00,000, respectively, for 5 years. Then, the second year, L joined them with investment of Rs. 15,00,000 for the rest of the 4 years. Due to some dispute between K and L, K withdrew half his investment and left the business at the end of 4th year, taking his profit along at the end of 5th year. What was the share of K, if total profit at the end of the 5 years was Rs. 15,00,070?

  1. Rs. 5,19,255

  2. Rs. 5,89,265

  3. Rs. 2,90,253

  4. Rs. 2,90,500

  5. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Multiple choice

A and B invest in a business with an initial investment of Rs. 25 lakh each. C joins them after 6 months with an investment of Rs. 50 lakh. At the end of the year, the business earns them a profit of Rs. 24 lakh. If they reinvest the profit in the business, what will be the new ratio of their shares in the business?

  1. 32 : 32 : 59

  2. 33 : 33 : 58

  3. 34 : 34 : 57

  4. 35 : 35 : 54

  5. 36 : 36 : 53
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A and B invest 25 lakh each for 12 months. C invests 50 lakh for 6 months. Ratio of investments: (25*12) : (25*12) : (50*6) = 300 : 300 : 300 = 1 : 1 : 1. The profit is reinvested, so the new capital ratio remains 1:1:1. The options provided do not match this simple ratio, suggesting the profit is added to the capital. New capital: A=25+8=33, B=25+8=33, C=50+8=58. Ratio 33:33:58.

Multiple choice

A, B and C enter into a partnership and their shares are in the ratio 1/2 : 1/3 : 1/4. After two months, A withdraws half of his capital. At the end of year, a profit of Rs. 378 is divided among them. What is B's share (in Rs.)?

  1. 129

  2. 144

  3. 156

  4. 168

  5. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Ratio 1/2:1/3:1/4 simplifies to 6:4:3. Let capitals be 6x, 4x, 3x. A's effective capital is (6x*2 + 3x*10) = 42x. B's is 4x*12 = 48x. C's is 3x*12 = 36x. Ratio is 42:48:36 or 7:8:6. Total parts = 21. B's share = (8/21)*378 = 144.

Multiple choice

Any, Tom and Bob are partners in the ratio of 2 : 2 : 1. Tom dies in Feb, 2014. They have taken life insurance policies, the premiums of which are debited to profit and loss account. | Partners | Policy value | Surrender value | | --- | --- | --- | | Any | 4,00,000 | 40,000 | | Tom | 7,00,000 | 70,000 | | Bob | 5,00,000 | 50,000 | How much amount is paid to the legal representatives of Tom?

  1. Rs. 7,90,000

  2. Rs. 2,80,000

  3. Rs. 3,16,000

  4. Rs. 7,00,000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

In partnership accounting, when a partner dies, the legal representatives are entitled to their share of the policy value (or surrender value depending on policy treatment). Given the premiums were debited to P&L, the full policy value is usually shared.

Multiple choice

A and B started a partnership business by investing some amount in the ratio of 5 : 6. C joined after 6 months with an amount equal to 2/3rd of B's share. What was their profit (in Rs.) at the end of the year if C got Rs. 21,600 as his share?

  1. 46,800

  2. 56,160

  3. 70,200

  4. 1,40,400
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let the investments be 5x and 6x. C invests 2/3 of 6x, which is 4x. A and B invest for 12 months, C for 6 months. Ratio of profit shares = (5x*12) : (6x*12) : (4x*6) = 60 : 72 : 24 = 5 : 6 : 2. Given 2 parts = 21,600, so 1 part = 10,800. Total profit = (5+6+2) * 10,800 = 13 * 10,800 = 140,400.

Multiple choice

A, B and C invested to start a restaurant. The total investment was Rs. 3 lakh. B invested Rs. 50,000 more than A, and C invested Rs. 25,000 less than B. If the profit at the end of the year was Rs. 14,400, then what was C's share of the profit (in Rs.)?

  1. 3,600

  2. 4,800

  3. 6,000

  4. 7,200
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A + B + C = 300,000. B = A + 50,000. C = B - 25,000 = A + 25,000. A + (A + 50,000) + (A + 25,000) = 300,000. 3A = 225,000, so A = 75,000. B = 125,000, C = 100,000. Ratio A:B:C = 75:125:100 = 3:5:4. C's share = (4/12) * 14,400 = 4,800.

Multiple choice

Two businessmen, A and B, invested in a business in the ratio 5 : 8. They decided to reinvest 30% of the profit that they earned back into the business. They distributed the remaining profit amongst themselves. If A's share of the profit was Rs. 87,500, then how much profit (in Rs.) did the business make?

  1. 2,27,000

  2. 2,50,000

  3. 3,75,000

  4. 3,25,000
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let total profit be P. After reinvesting 30%, 0.7P remains. A's share is (5/13) * 0.7P = 87500. Solving for P: P = (87500 * 13) / (5 * 0.7) = 1137500 / 3.5 = 325000.