Discussion of Question with ID = 046 under Partnerships

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It was agreed that A would invest Rs. 7000 for 1 months and B would invest Rs. 10000 for 11 months. What will be the share of A in an annual profit of Rs. 46800?


Rs. 2800.


Rs. 2900.


Rs. 2700.


Rs. 3000.

Ans: a

The profits are shared in the ratio of money-months contributed by the partners. Money-months contributed by A are 7000 × 1 = 7000, whereas those by B are 10000 × 11 = 110000. The ratio of these money-months is 7:110. This is the ratio in which the profits would be divided. A's share = 46800 × $7/{7 + 110}$ = Rs. 2800.

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