and B started a business investing Rs.80000 and Rs.20000 respectively.In what ratio the profit earned after 3 years be divided between A and B respectively?4:56:128:612:3
Question
and B started a business investing Rs.80000 and Rs.20000 respectively.In what ratio the profit earned after 3 years be divided between A and B respectively?4:56:128:612:3
Solution
The profit ratio is determined by the amount of money each person invested and the time for which they invested their money.
In this case, A invested Rs. 80000 and B invested Rs. 20000.
The time for both A and B is the same, which is 3 years.
So, the profit ratio will be directly proportional to the amount of money they invested because the time period is the same for both.
Therefore, the profit ratio of A to B will be 80000:20000.
We can simplify this ratio by dividing both numbers by 10000.
So, the profit ratio of A to B will be 8:2.
Further simplifying it by dividing by 2, we get the ratio as 4:1.
So, the profit earned after 3 years should be divided between A and B in the ratio 4:1 respectively.
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