A and B invested money in a business in the ratio of 7 : 5. If 15% of the total profit goes for charity, and A's share in the profit is Rs.5,950, then what is the total profit?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is Option 2 i.e. Rs.12,000.
A and B invested money in a business in the ratio of 7: 5.
15% of the total profit goes to charity, and
A's share in the profit is Rs. 5,950
Profit % = (Selling price- Cost price)/Cost price × 100
The total profit of A and B will be = 5950 × 12/7 = Rs 10200
The total profit including charity = 10200 × 100/85 = Rs 12000