Four real estate brokers (A, B, C and D) joins together to form a business firm so they get more customers with a condition that for every sale the firm obtains 2% of commission is charged. The commission will be shared such that the person who brought in the customer will get 40% of the commission and others get 20% each. If the ratio of sales made by the brokers are in the ratio 5 ∶ 7 ∶ 6 ∶ 7 respectively. If the commission received by B, C and D is more than the commission received by A by Rs 176781.8, what is the total sales made by the company? (in rupees)
Four real estate brokers (A, B, C and D) joins together to form a business firm so they get more customers with a condition that for every sale the firm obtains 2% of commission is charged. The commission will be shared such that the person who brought in the customer will get 40% of the commission and others get 20% each. If the ratio of sales made by the brokers are in the ratio 5 ∶ 7 ∶ 6 ∶ 7 respectively. If the commission received by B, C and D is more than the commission received by A by Rs 176781.8, what is the total sales made by the company? (in rupees) Correct Answer 339965
Let the ratio of sales brought be 5a, 7a, 6a and 7a
Commission obtained by A = 40% of sales by first broker + 20% of remaining sales
⇒ 40/100 × 5a + 20/100 × (7a + 6a + 7a)
⇒ 2a + 4a = 6a
Commission obtained by B = 40/100 × 7a + 20/100 × (5a + 6a + 7a)
⇒ 2.8a + 3.6a = 6.4a
Commission obtained by C = 40/100 × 6a + 20/100 × (5a + 7a + 7a)
⇒ 2.4a + 3.8a = 6.2a
Commission obtained by D = 40/100 × 7a + 20/100 × (5a + 6a + 7a)
⇒ 2.8a + 3.6a = 6.4a
Commission of B + C + D – Commission of A = 176781.8
6.4a + 6.2a + 6.4a – 6a = 176781.8
⇒ 13a = 176781.8
∴ a = 13598.6
Total sales = 5a + 7a + 6a + 7a
⇒ 25a = 25 × 13598.6 = Rs. 339965
∴ The total sales made by the company Rs. 339965.