Question : A and B invest in a business in a ratio of 4 : 5. After 10 months, B leaves the business after withdrawing his investment. In the first year, the business made a profit of Rs. 49,000. What is B's share (in Rs.) in this profit?
Option 1: 25,000
Option 2: 20,000
Option 3: 18,000
Option 4: 22,000
Correct Answer: 25,000
Solution :
A and B invest in a business in a ratio of 4 : 5.
Let the investment of A and B be 4$x$ and 5$x$ respectively.
Profit ratio of A and B = (capital of A × time period of A) : (capital of B × time period of B)
= (4$x$ × 12) : (5$x$ × 10)
= 48 : 50
= 24 : 25
Since the total profit = Rs. 49000,
So, the share of B = $\frac{25}{(24+25)}$ × 49000
= $\frac{25}{49}$ × 49000
= Rs. 25000
Hence, the correct answer is 25,000.
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