Question

The investment made by A and B are in the ratio 6 : 5. If 33.33% of total profit goes to charity and A gets Rs. 72,720 Rs as his share of profit then what is the amount of total profit.

1. Rs. 2,00,000
2. Rs. 1,99,980
3. Rs. 2,000
4. Rs. 20
5. None of these 

Answer 1

Correct Answer - Option 2 : Rs. 1,99,980

Given that:

Investment of A and B = 6 : 5

A gets the profit = Rs. 72,720

Formula used

Profit = time × money

Investment ratio is equal to profit ratio

Calculation:

Let the total profit be 100 units

Remaining profit after donated = 100 – (33.33% of 100) =2/3 of total profit

Share of A's profit = Rs. 72,720

⇒ 6x = 72720 

⇒ x = 12120

⇒ 11x = 11 × 12120 = 133320

So, profit after donated = Rs. 13320 

Total profit = 3/2 × 13320 = 199980 

∴ The total profit is Rs. 1,99,980