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A and B entered into a business my makin...

A and B entered into a business my making investment of Rs 2400 and 2800 respectively .After six months A left the business and after four more months C joined the business with capital 20 % more than A's investment .If at the end of year sum of profit share of A and C is Rs 4200 ,then find total profit ?

A

A)10200 Rs

B

B)11200 Rs

C

C)11800 Rs

D

D)10800 Rs

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will follow these instructions: ### Step 1: Determine the investments of A, B, and C - A's investment = Rs 2400 - B's investment = Rs 2800 - C's investment = 20% more than A's investment. Calculating C's investment: \[ C's\ investment = A's\ investment + 20\% \ of\ A's\ investment \] \[ C's\ investment = 2400 + 0.2 \times 2400 = 2400 + 480 = Rs\ 2880 \] ### Step 2: Calculate the time of investment for each partner - A invests for 6 months. - B invests for 12 months (1 year). - C joins after A leaves, so C invests for 2 months (from month 7 to month 12). ### Step 3: Calculate the effective capital contribution (Investment × Time) - A's contribution = \( 2400 \times 6 = 14400 \) - B's contribution = \( 2800 \times 12 = 33600 \) - C's contribution = \( 2880 \times 2 = 5760 \) ### Step 4: Find the total contribution Now we will find the total contributions: - Total contribution = A's contribution + B's contribution + C's contribution \[ Total\ contribution = 14400 + 33600 + 5760 = 53760 \] ### Step 5: Find the profit-sharing ratio Now we will find the profit-sharing ratio based on their contributions: - A's share = 14400 - B's share = 33600 - C's share = 5760 To find the ratio: - A : B : C = 14400 : 33600 : 5760 - Simplifying this ratio: - Divide each term by 1440: \[ A : B : C = 10 : 23.33 : 4 \] - To make it whole numbers, we can multiply by 3: \[ A : B : C = 30 : 70 : 12 \] ### Step 6: Calculate the total profit We know from the problem that the sum of A and C's profit share is Rs 4200. - A's share + C's share = 30x + 12x = 42x - Given that 42x = 4200, we can find x: \[ x = \frac{4200}{42} = 100 \] ### Step 7: Find the total profit Now we can find the total profit: - Total profit = A's share + B's share + C's share - A's share = 30x = 3000 - B's share = 70x = 7000 - C's share = 12x = 1200 - Total profit = 3000 + 7000 + 1200 = 11200 ### Final Answer The total profit is Rs 11200. ---
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