Three partners A, B, and C enter into a partnership. A contributes Rs. 6500 for 6 months, B contributes Rs. 8400 for 5 months, and C invests Rs. 10000 for 3 months. A is the working partner and receives 5% of the total profit for this role. What is C's portion of the total profit amounting to Rs. 7400?

Choose the correct answer

Explanation

First, calculate the weighted investments based on capital and time: A = 6500 × 6 = 39000, B = 8400 × 5 = 42000, C = 10000 × 3 = 30000. The ratio of their investments is 39000:42000:30000 or 26:28:20. Since A receives 5% of the total profit as a working partner, the remaining profit to be shared is 95% of Rs. 7400, which is Rs. 7030. C’s share is then (20 / (26 + 28 + 20)) × 7030 = (20 / 74) × 7030 = Rs. 1900.

Three partners A, B, and C enter into a partnership.… — Partnership | PakQuizHub