Partnership profit sharing: A, B, and C start a business by investing ₹ 28,000, ₹ 35,000, and ₹ 14,000, respectively. At the end of one full year, the total profit is ₹ 5,225. What is A's share of the profit, assuming profit is divided in the ratio of capital invested and the capital remained invested for the whole year?

Difficulty: Easy

Correct Answer: ₹ 1,900

Explanation:


Introduction / Context:
Partnership problems in aptitude test how profits are divided among partners when capital contributions and time periods are known. Here, A, B, and C invest different amounts for a full year, so profit sharing is directly proportional to their invested capitals. We must compute A's share from the total profit of ₹ 5,225 using capital ratios.



Given Data / Assumptions:

  • A invests ₹ 28,000 for the entire year.
  • B invests ₹ 35,000 for the entire year.
  • C invests ₹ 14,000 for the entire year.
  • Total profit at year end = ₹ 5,225.
  • All capitals remain invested for the same duration (1 year).
  • Profit is divided in the ratio of (capital * time).



Concept / Approach:
When time is equal, profit shares are in the ratio of capitals invested. Reduce the ratio to simplest terms, find total ratio units, then compute each partner's share = (individual ratio / total ratio) * total profit.



Step-by-Step Solution:
Capitals: 28,000 : 35,000 : 14,000. Divide by 7,000 to simplify → 4 : 5 : 2. Total ratio units = 4 + 5 + 2 = 11. Value per unit = 5,225 / 11 = 475. A's share = 4 * 475 = ₹ 1,900.



Verification / Alternative check:
Compute all shares: A = 4*475 = 1,900; B = 5*475 = 2,375; C = 2*475 = 950. Sum = 1,900 + 2,375 + 950 = 5,225, matching the total profit.



Why Other Options Are Wrong:

  • ₹ 1,740, ₹ 1,775, ₹ 1,850, and ₹ 1,650 do not equal 4/11 of ₹ 5,225.
  • They would break the proportionality implied by the 4 : 5 : 2 capital ratio.



Common Pitfalls:

  • Dividing profit directly by the number of partners instead of using capital ratios.
  • Forgetting to simplify the ratio or mis-adding ratio parts.
  • Confusing total capital (sum) with the ratio approach.



Final Answer:
₹ 1,900

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