Question

A and B started a business investing amounts of Rs. 92,500 and Rs. 1,12,500 respectively. If B's share in the profit earned by them is Rs. 9,000, what is the total profit (in Rs.) earned by them together?
1. 19,000
2. 20,000
3. 21,240
4. 16,400

Answer 1

Correct Answer - Option 4 : 16,400

Given:

Investment of A  = Rs. 92,500

Investment of B = Rs. 1,12,500

B's share in profit = Rs. 9,000

Concept used:

If time of investment is equal for A and B then, ratio of profit earned by A and B is same as the ratio of investment done.

Calculations:

Ratio of profit = 92,500 : 1,12,500

⇒ 37 : 45

Let total profit be y.

B's share in the profit = {45/(45 + 37)} × y

⇒ (45/82) × y = 9,000

⇒ y = 7,38,000/45

⇒ y = 16,400

∴ The total profit earned by them together is Rs. 16,400