Find the ratio of investment of A to B if A invest after 6 months of B’s investment and B invests after 3 months of commencement of business. It is known that their profit – sharing ratio after 1 year of commencement of business is 2 : 3.
Find the ratio of investment of A to B if A invest after 6 months of B’s investment and B invests after 3 months of commencement of business. It is known that their profit – sharing ratio after 1 year of commencement of business is 2 : 3. Correct Answer 2 : 1
Let the investment of a be x and the investment of B be y. A invest x rupees after 6 months of B’s investment and B invest y rupees after 3 months of commencement of business. This means A invests x rupees for 3 months and B invests y rupees for 9 months. Profit sharing ratio of A to B = 2 : 3 The investment ratios = 3x : 9y 3x : 9y = 2 : 3 X : y = 2 : 1