The profits of three partners are in the ratio 2 : 3 : 4. If their profits increase by 50%, 40%, and 30%, what is the new ratio of profits?
Show answer & explanation
Correct answer: A
Explanation
Given:
Profit ratio = 2 : 3 : 4
Increase = 50%, 40%, 30%
Formula:
New amount = Old amount × (1 + increase/100)
New amounts = 2 × 1.50 : 3 × 1.40 : 4 × 1.30
= 30 : 42 : 52
= 3 : 4.2 : 5.2