Managing partner’s commission with remaining profit shared by capital: Anil (active) invests ₹ 12,000, Vimal (sleeping) invests ₹ 20,000. Anil gets 10% of total profit for managing; the remaining profit is shared in the ratio of capitals. If total profit is ₹ 9,000, how much does Anil receive?
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A₹ 4500
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B₹ 4800
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C₹ 4600
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D₹ 3937.5
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E₹ 4200
Answer
Correct Answer: ₹ 3937.5
Explanation
Introduction / Context: In partnerships with a managing partner, a fixed percentage of the total profit may be paid as commission before the remainder is split by capital ratios. This two-stage allocation must be handled sequentially to avoid errors in the final amounts received by each partner.
Given Data / Assumptions:
- Anil capital = ₹ 12,000; Vimal capital = ₹ 20,000.
- Total profit = ₹ 9,000.
- Managing commission for Anil = 10% of total profit.
- Remaining profit divided in ratio 12,000 : 20,000 = 3 : 5.
Concept / Approach: First deduct the 10% commission from total profit; then share the balance by the capital ratio. Add the commission back to Anil’s share from the remainder to get his total receipt.
Step-by-Step Solution:
Commission = 10% * 9,000 = ₹ 900 (to Anil).Balance = 9,000 − 900 = ₹ 8,100.Anil’s share of balance = 8,100 * (3/8) = ₹ 3,037.50.Total to Anil = 900 + 3,037.50 = ₹ 3,937.50.Verification / Alternative check: Vimal’s share of balance = 8,100 * (5/8) = ₹ 5,062.50. Sum with Anil’s 3,937.50 equals ₹ 9,000 total profit, confirming correctness.
Why Other Options Are Wrong: ₹ 4,500, ₹ 4,800, and ₹ 4,600 assume different commission handling or equal division; ₹ 4,200 miscomputes the capital-based split.
Common Pitfalls: Sharing first then taking commission, or taking 10% of the remaining profit rather than 10% of the total, as specified.
Final Answer: ₹ 3937.5