Kamal invested Rs. 9000 to start a business. After five months, Sameer joined by investing Rs. 8000. If the total profit at the end of one year is Rs. 6970, what amount of profit will Sameer receive?

Explanation

The profit-sharing ratio depends on the product of capital and time invested. Kamal's investment duration is 12 months, so his capital-time product is 9000 × 12 = 108,000. Sameer invested Rs. 8000 for 7 months, so his product is 8000 × 7 = 56,000. The ratio of their investments is 108,000 : 56,000, which simplifies to 27 : 14. Therefore, Sameer's share of the profit is (14 / (27 + 14)) × 6970 = (14 / 41) × 6970 = Rs. 2380.