A and B starts a business with investment of Rs. 28000 and Rs. 42000 respectively. A invests for 8 months and B invests for one year. If the total profit at the end of year is Rs. 21125, then what is the share of B?

A and B starts a business with investment of Rs. 28000 and Rs. 42000 respectively. A invests for 8 months and B invests for one year. If the total profit at the end of year is Rs. 21125, then what is the share of B? Correct Answer Rs. 14625

Given:

A’s investment = Rs. 28000 for 8 months

B’s investment = Rs. 42000 for 12 months

Total profit = Rs. 21125

Formula used:

Profit ratio = Investment ratio × Time (in months)

Calculation:

Profit of A/Profit of B = 28000 × 8/(42000 × 12)

⇒ Profit of A/Profit of B = 4/9

Let the profit of A be 4x and profit of B be 9x

So 13x = 21125

⇒ x = 1625

∴ Profit share of B = 9x = 9 × 1625 = Rs. 14625

Related Questions