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Raj and Prithvi both start a business to...

Raj and Prithvi both start a business together in which Raj invests Rs X and Prithvi invests Rs (X + 2000). At the end of one year, the total profit earned was ₹8400,of which Raj’s share was ₹3600. How much had Prithvi invested in the business?

A

₹ 16400

B

₹ 12000

C

₹ 125000

D

₹ 8000

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will follow these calculations: 1. **Identify the Investments**: - Raj's investment = Rs X - Prithvi's investment = Rs (X + 2000) 2. **Total Profit Calculation**: - Total profit earned = Rs 8400 - Raj's share of the profit = Rs 3600 - Therefore, Prithvi's share of the profit = Total profit - Raj's share = 8400 - 3600 = Rs 4800 3. **Profit Sharing Ratio**: - Raj's share = Rs 3600 - Prithvi's share = Rs 4800 - The ratio of their shares = Raj's share : Prithvi's share = 3600 : 4800 - Simplifying this ratio gives us 3 : 4. 4. **Investment Ratio**: - Since profit is proportional to investment, we can set up the equation: - Let the time period for both investments be the same (1 year). - Therefore, we can write the equation based on the ratio of their investments: \[ \frac{Raj's\ Investment}{Prithvi's\ Investment} = \frac{3}{4} \] - Substituting the investments: \[ \frac{X}{X + 2000} = \frac{3}{4} \] 5. **Cross Multiplication**: - Cross multiplying gives us: \[ 4X = 3(X + 2000) \] 6. **Expand and Solve for X**: - Expanding the right side: \[ 4X = 3X + 6000 \] - Rearranging gives: \[ 4X - 3X = 6000 \] \[ X = 6000 \] 7. **Calculate Prithvi's Investment**: - Prithvi's investment = X + 2000 = 6000 + 2000 = Rs 8000. Thus, Prithvi had invested Rs 8000 in the business.
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