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Karan started a business investing Rs 29...

Karan started a business investing Rs 29000. After five months, Satish joined with a capital of Rs 18000. If at the end of the year, they earn a profit of Rs. 16970, then what will be the share of Satish in the profit ?

A

A) Rs. 5422

B

B) Rs. 5489

C

C) Rs. 4511

D

D) Rs. 6145

Text Solution

AI Generated Solution

The correct Answer is:
To find Satish's share of the profit, we need to calculate the effective capital contribution of both Karan and Satish over the time they invested in the business. ### Step-by-Step Solution: 1. **Identify the Investments and Time Periods:** - Karan's investment: Rs 29,000 for 12 months. - Satish's investment: Rs 18,000 for 7 months (since he joined after 5 months). 2. **Calculate the Capital Contribution:** - Karan's contribution: \[ \text{Karan's Contribution} = 29000 \times 12 = 348000 \] - Satish's contribution: \[ \text{Satish's Contribution} = 18000 \times 7 = 126000 \] 3. **Calculate the Total Capital Contribution:** - Total contribution: \[ \text{Total Contribution} = 348000 + 126000 = 474000 \] 4. **Determine the Ratio of Contributions:** - The ratio of Karan's to Satish's contributions: \[ \text{Ratio} = \frac{348000}{126000} = \frac{348}{126} = \frac{58}{21} \] 5. **Calculate Satish's Share of the Profit:** - Total profit earned: Rs 16,970. - Satish's share of the profit: \[ \text{Satish's Share} = \frac{21}{58 + 21} \times 16970 = \frac{21}{79} \times 16970 \] 6. **Perform the Calculation:** - Calculate Satish's share: \[ \text{Satish's Share} = \frac{21 \times 16970}{79} = \frac{356370}{79} \approx 4515.84 \] 7. **Final Answer:** - Satish's share in the profit is approximately Rs 4515.84.
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