Partnership difference in shares: A, B, and C invest ₹ 45,000, ₹ 55,000, and ₹ 60,000, respectively, for one full year. The total profit at year end is ₹ 11,200. How much more does B receive than A from the profit distribution (capital-time proportional sharing)?

Difficulty: Easy

Correct Answer: ₹ 700

Explanation:


Introduction / Context:
In capital-time proportional partnerships with equal time periods, profit shares are distributed in the ratio of capitals. This question asks for the difference between B's and A's shares, which is a neat way to avoid calculating each partner's entire share if you handle ratios correctly.



Given Data / Assumptions:

  • A invests ₹ 45,000; B invests ₹ 55,000; C invests ₹ 60,000.
  • Investment period for all = 1 year.
  • Total profit = ₹ 11,200.
  • Profit share ∝ capital * time (time equal, so ∝ capital).



Concept / Approach:
Convert capitals to a simple ratio and compute the value per unit of ratio. The difference in shares between B and A is (B's ratio − A's ratio) * value per unit. This is faster and reduces arithmetic errors.



Step-by-Step Solution:
Capitals: 45 : 55 : 60 (in thousands → ratio units 45, 55, 60). Total ratio units = 45 + 55 + 60 = 160. Value per unit = 11,200 / 160 = 70. Difference B − A = (55 − 45) * 70 = 10 * 70 = ₹ 700.



Verification / Alternative check:
Compute shares explicitly: A = 45*70 = 3,150; B = 55*70 = 3,850; C = 60*70 = 4,200. Total = 3,150 + 3,850 + 4,200 = 11,200. Difference = 3,850 − 3,150 = 700.



Why Other Options Are Wrong:

  • ₹ 750, ₹ 710, ₹ 780, ₹ 840 correspond to incorrect unit values or wrong ratio differences.



Common Pitfalls:

  • Dividing ₹ 11,200 equally among partners instead of using ratio 45 : 55 : 60.
  • Arithmetic slips when computing value per unit or subtracting ratio parts.



Final Answer:
₹ 700

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