The ratio of the investments of A and B in a business is 7 : 5, and the ratio of their profits at the end of a year is 2 : 5. If A invested the money for 6 months, then for how much time (in months) has B invested his money?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 21.
We know that,
Profit's share = Amount invested × Period
Let the amount invested by A and B be 7x and 5x
The profit share of A and B is 2y and 5y.
Let B invest the money for years.
⇒ 7x × 6 = 2y
⇒ x/y = 1/21........(1)
⇒ 5x × a = 5y
⇒ x/y = 1/a.........(2)
On comparing equations (1) and (2) we get,
⇒1/21 = 1/a
⇒a = 21 months.