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Profit, Loss and Discount
A and B started a business in partnership, investing Rs. 20,000 and Rs. 15,000 respectively. After six months, C joined them with Rs. 20,000. What will be B’s share in the total profit of Rs. 25,000 earned at the end of 2 years from the start of the business?
Correct answer: B
Explanation and memory cue
B invested Rs. 15,000 for the entire 2 years, so his capital-time product is 15,000 × 24 = 360,000. A invested Rs. 20,000 for 2 years (20,000 × 24 = 480,000). C joined after 6 months, investing Rs. 20,000 for 1.5 years (20,000 × 18 = 360,000). Total capital-time = 480,000 + 360,000 + 360,000 = 1,200,000. B's share = 360,000 / 1,200,000 = 3/10 of profit. So, B's profit = 3/10 × 25,000 = Rs. 9,000.