Question

Kamal and Raju started a partnership for total of 3.5 years in such a way that initially Kamal invested Rs. 7500 for 23 months after that Kamal withdraws his amount and Raju invests certain capital for the remaining time. The profit Raju received after 3.5 years is Rs. 1400 out of total profit of Rs. 3200.What was the amount Raju invested.

1. Rs. 3000
2. Rs. 2500
3. Rs. 2400
4. Rs. 3500
5. Rs. 2000

Answer 1

Correct Answer - Option 4 : Rs. 3500

Given

Time of Kamal’s and Raju’s partnership = 3.5 years

Kamal’s investment for 23 months = Rs. 7500

Total Profit for 3.5 years = 3200

Raju’s profit for 3.5 years = 1400

Formula used

Calculation

Total time of Investment = 3.5 years = 42 months

Raju investment for months =Total time of investment – time of Kamal’s investment

⇒ 42 - 23 Months = 19 Months

Ratio of time period invested = Time of Kamal’s investment: Time of Raju investment

⇒  23 : 19

Ratio of share profit = (3200 - 1400) : 1400 = 1600 : 1400 = 8 : 7  

Amount invested by Raju = 7500 × 7/15 = Rs. 3500

∴ Amount invested by Raju is Rs. 3500.