Understanding Business Profit Sharing
This question involves calculating the share of profit for one partner (C) in a business, given the initial investments of three partners (A, B, and C) and the total profit earned. The fundamental principle here is that profit is distributed among partners in proportion to their investments.
Calculating Total Investment
First, let's find the total investment made by all three friends:
- Investment by A = ₹6,000
- Investment by B = ₹8,000
- Investment by C = ₹10,000
- Total Investment = Investment by A + Investment by B + Investment by C
- Total Investment = ₹6,000 + ₹8,000 + ₹10,000 = ₹24,000
Determining the Investment Ratio
Next, we determine the ratio of their investments. This ratio represents how the profit will be divided.
- Ratio of Investments (A : B : C) = ₹6,000 : ₹8,000 : ₹10,000
To simplify this ratio, we can divide each part by their greatest common divisor, which is ₹2,000:
- Simplified Ratio = (6000/2000) : (8000/2000) : (10000/2000)
- Simplified Ratio = 3 : 4 : 5
Calculating the Total Ratio Parts
The sum of the parts in the simplified ratio gives us the total number of parts into which the profit is divided.
- Total Ratio Parts = 3 + 4 + 5 = 12
Calculating C's Share of Profit
Now, we can calculate C's share of the total profit based on their proportion in the investment ratio.
- C's share is calculated as: (C's Ratio Part / Total Ratio Parts) * Total Profit
- C's Investment Ratio Part = 5
- Total Profit = ₹12,000
- C's Share = (5 / 12) * ₹12,000
- C's Share = 5 * (12000 / 12)
- C's Share = 5 * ₹1,000
- C's Share = ₹5,000
Conclusion
Therefore, C's share of the total profit of ₹12,000 is ₹5,000.
Important Questions from Ratio and Proportion (Notes)
- If A exceeds B by 50% and B is less than C by 25%, then A: C is:
- For any two numbers p and q,
$(p + q) : (p - q) : pq = 7 : 1 : 60$
If $p^2 + q^2 = r^2$, then r is equal to - If A : B = 5 : 6 and B : C = 6 : 7, then A + B : B + C : A + C is :
- The height of a tree varies as the square root of its age. When the age of the tree is 324 years, its height is 19 feet. What will be the height of the tree (in feet) at the age of 81 years?
When x is added to each of 13, 19, 16 and 23, then the numbers so obtained, in this order, are in proportion. Then, if $5x : y :: y : (8x-4)$, and $y > 0$, what is the value of y?
