Three partners Ravi, Sam and Ben started a manufacturing unit of pen. Ravi invested in the business Rs 25000 while Sam invested 20% more than Ravi investment and Ben invested 20% less than Ravi investment. what would be the profit ratio of their at the end of 1 year.
Three partners Ravi, Sam and Ben started a manufacturing unit of pen. Ravi invested in the business Rs 25000 while Sam invested 20% more than Ravi investment and Ben invested 20% less than Ravi investment. what would be the profit ratio of their at the end of 1 year. Correct Answer 5 : 6 : 4
Given
Ravi capital = Rs. 25000
Sam capital = 20% of Ravi investment
Ben capital = 80% of Ravi investment
Formula Used
Investment = capital × time
Investment ratio is directly proportional to the profit ratio
Calculation
⇒ Sam capital = (120/100) × 25000 = Rs. 30000
⇒ Ben capital = (80/100) × 25000 = Rs. 20000
⇒ Ravi investment = 25000 × 1year = Rs. 25000
⇒ Sam investment = 30000 × 1 = 30000
⇒ Ben investment = 20000 × 1 = 20000
⇒ Investment ratio after 1 year = 25000 : 30000 : 20000
⇒ 5 : 6 : 4
∴ The profit ratio of Ravi, Sam and Ben after end of 1 year is 5 : 6 : 4 .