A, B and C subscribe to a business of Rs. 50,000. B subscribes Rs. 6,000 more than C and A subscribes Rs. 2,000 more than B. What will be A's share of profit out of a total profit of Rs. 10,000?
A, B and C subscribe to a business of Rs. 50,000. B subscribes Rs. 6,000 more than C and A subscribes Rs. 2,000 more than B. What will be A's share of profit out of a total profit of Rs. 10,000? Correct Answer <span style="">Rs. 4,000</span>
Given:
A, B and C subscribe to a business of Rs. 50,000.
B subscribes Rs. 6,000 more than C and A subscribes Rs. 2,000 more than B.
Concept used:
The total profit gets divided into the partner in the ratio of their investment.
Calculation:
Let the subscribe amount of C be Rs. X.
So,
The subscribe amount of B = Rs. (X + 6000)
The subscribe amount of A = Rs. (X + 6000 + 2000)
According to the question,
X + (X + 6000) + (X + 6000 + 2000) = 50000
⇒ X = 12000
Ratio of the subscribe amount of A, B & C
⇒ (12000 + 6000 + 2000) : (12000 + 6000) : 12000
⇒ 20 : 18 : 12
⇒ 10 : 9 : 6
So, A's share of the profit = 10000 × 10/25 =Rs. 4000
∴ A's share out of a total profit of Rs. 10000 is Rs. 4000.