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X and Y put in Rs. 3,000 and Rs. 4,000 respectively into a business. X reinvests into the business his share of the first year’s profit and the total profit Rs. 2,240 whereas Y does not reinvest. The total profit of the first-year is Rs. 2,240. In what ratio should they share the second year’s profit?

X and Y put in Rs. 3,000 and Rs. 4,000 respectively into a business. X reinvests into the business his share of the first year’s profit and the total profit Rs. 2,240 whereas Y does not reinvest. The total profit of the first-year is Rs. 2,240. In what ratio should they share the second year’s profit? Correct Answer 99 : 100

Given, X and Y put in Rs. 3,000 and Rs. 4,000 respectively into a business.

So, the ratio of their capitals is 3 : 4

Then, Profit of first year is divided in the ratio of 3 : 4

So, Profit of x = Rs. 960 & profit of y = Rs.1280

Second year they will invest in the ratio, X : Y = 3960 : 4000

∴ share of profit will be in the ratio = 99 : 100

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