A is a working partner and B is a sleeping partner in a business. A invested Rs 30000 and B invested Rs 50,000. A receives 20% of the profit for managing the business and the rest is divided in proportion to their capital. What does B get out of the profit of Rs 10,000?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Rs 5000.
A invested Rs 30000 and B invested Rs 50,000.
A receives 20% of the profit.
Ratio of Investment by A and B = 30000 : 50000 = 3 : 5
A receives 20% profit which is = 1/5
Total profit be 5x
⇒ 5x = 10000
⇒ x = 2000
Remaining amount = 10000 - 2000 = 8000
Now, share of B = (5/8) × 8000 = Rs 5000.