A and B invest Rs. 8000 and Rs. 9000 respectively in a venture. After 4 months, A reduces his investment by half, and after another 2 months, B decreases his investment by one-third. What is the ratio in which they should divide the profits at the end of the 12-month period?

Explanation

To find the profit-sharing ratio, calculate the effective capital contributions over time. For A: (8000 × 4 months) + (4000 × 8 months) = 32000 + 32000 = 64000. For B: (9000 × 6 months) + (6000 × 6 months) = 54000 + 36000 = 90000. Therefore, the profit-sharing ratio is 64000 : 90000, which simplifies to 32 : 45.