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A and B started a business jointly.
- A’s investment was thrice the investment of B.
- The period of A’s investment was two times the period of investment of B.
Supposing, B’s investment was “y” and period of investment “z” (this implies that the total investment of B for a period of “z” is “yz”).
Then; A’s investment and period of investment would be “3y” and “2z” (this implies that the total investment of A for “2z” period is “6yz”).
As, we know that profit is distributed among partners according to their investment in a business so (ratio of investment = A : B : C = 6yz : yz or 6 : 1) to find out total profit we can derive a sub-formula for the general formula mentioned below.
- B’s share in profit = (B’s ratio of investment x total profit)/total ratio
- Total profit = (B’s share in profit x total ratio)/B’s ratio of investment
After placing values of B’s share in profit (Rs. 4000), total ratio (6 + 1 = 7) and B’s ratio of investment (1); we can easily find out the total profit which is Rs. 28000.
Total profit = ?
- B’s investment = y
- B’s period of investment = z
- B’s total investment = yz
Now according to the question;
- A’s investment = 3y
- A’s period of investment = 2z
- A’s total investment = 6yz
A : B = 6yz : yz
A : B = 6 : 1 (6 + 1 = 7)
B’s share in profit (given) = 4000
Total profit = (4000 x 7)/1
Total profit = Rs. 28000 answer
A and B started a business jointly. Investment of A was thrice the investment of B and the period of his investment was two times the period of investment of B. If B received Rs. 4000 as profit, then their total profit is Rs. 28000.