P and Q started a business together and after 3 months P added 1/3rd of his original investment and after 3 months to that he added same amount he invested at first. Q added 1/4th amount of what she originally invested after 4 months. What would the ratio of profits be after 12 months if initial investment by both of them was in ratio 3 : 4?
P and Q started a business together and after 3 months P added 1/3rd of his original investment and after 3 months to that he added same amount he invested at first. Q added 1/4th amount of what she originally invested after 4 months. What would the ratio of profits be after 12 months if initial investment by both of them was in ratio 3 : 4? Correct Answer 9 : 8
Given:
P : Q = 3 : 4
At 9 months = P + (P × (1 / 3))
At 6 months = P + (P × (1 / 3)) + P
At 8 months = Q + (Q × (1 / 4))
Calculation:
Let initial investment by P and Q be 3x and 4x
The total investment by P = 3x × 3 + 4x × 3 + 7x × 6 = 63x
The total investment by Q = 4x × 4 + 5x × 8 = 56x
The ratio of Profit = 63x : 56x = 9 : 8
∴ Profits of P and Q after 12 months would be in ratio 9 : 8
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P’s total investment along the months = (3X × 12) + (X × 9) + (3X × 6)
⇒ P’s total investment along the months = 36X + 9X + 18X
⇒ P’s total investment along the months = 63X
Q’s total investment along the months = (4X × 12) + (X × 8)
⇒ Q’s total investment along the months = 48X + 8X
⇒ Q’s total investment along the months = 56X
Required ratio = 63X : 56X
⇒ P : Q = 9 : 8
∴ Profits of P and Q after 12 months would be in ratio 9 : 8
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P : Q = ((3X × 3) + (4X × 3) + (7X × 6)) : ((4X × 4) + (5X × 8))
⇒ P : Q = 63X : 56X
⇒ P : Q = 9 : 8
∴ Profits of P and Q after 12 months would be in ratio 9 : 8