Ravi and Kavi invest Rs. 8,000 and Rs. 72,000 respectively in a business. What is the ratio of their profits at the end of one year?

Difficulty: Easy

Correct Answer: 1 : 9

Explanation:


Introduction / Context:
With equal time periods, profit ratio equals capital ratio. We simply reduce 8,000 : 72,000 to the simplest form to find the profit ratio between Ravi and Kavi.


Given Data / Assumptions:

  • Ravi invests Rs. 8,000.
  • Kavi invests Rs. 72,000.
  • Time period is the same for both partners.


Concept / Approach:
Profit ratio = capital ratio when time is equal. Reduce 8,000 : 72,000 by their greatest common divisor.


Step-by-Step Solution:
8,000 : 72,000 = 8 : 72 = 1 : 9. Thus, Ravi : Kavi = 1 : 9.


Verification / Alternative check:
If total profit were P, Ravi gets P/10 and Kavi gets 9P/10, maintaining the 1 : 9 ratio.


Why Other Options Are Wrong:
2 : 9, 5 : 9, and 7 : 9 do not reduce from 8,000 : 72,000.


Common Pitfalls:
Forgetting to reduce the ratio completely or mistakenly adding capitals instead of comparing them.


Final Answer:
1 : 9

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