A and B enter into a partnership with capital in the ratio \(\frac{4}{3}: \frac{5}{6}\). After 6 months, A reduces his capital by 25% and B increases his capital by 50%. What is the share of B (in lakhs) in the profit of Rs. 63.6 lakhs, at the end of a year?

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Question

This question was previously asked in

AAI ATC Junior Executive 21 Feb 2023 Shift 2 Official Paper

Answer 1

Given:

A : B = 4/3 : 5/6

Total profit = Rs.63,60,000

Formula used:

Value of investment = Amount invested × number of Months

Calculation:

The ratio of A and B in partnership = 4/3 : 5/6

Multiply both ratios with 6

⇒ A : B = 8 : 5

Value of investment = Amount invested × number of Months

Person	A	B
Investment for first six months	8x × 6 = 48x	5x × 6 = 30x
Investment for another six months	6x × 6 = 36x	7.5x × 6 = 45x
Total investment	84x	75x

Profit will be shared according to the ratio of investment,

i.e. Ratio of profit of A and B = 84 : 75

⇒ 84x + 75x = 63,60,000

⇒ 159x = 63,60,000

⇒ x = 40000

The profit share of B = 75 × 40000 = 30,00,000

Hence, the profit share of B is Rs. 30 lakh.

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