| | Question 20

A & B start a business with Rs 5000 and Rs 4500. After 4 months A withdraw half of his capital and B withdraw half capital after 6 months and C joins the business with a capital of Rs 7000 after 6 months. Find the profit sharing ratio?
(A) 80:81:85
(B) 80:81:84
(C) 81:83:84
(D) 80:81:87

Answer: (B)

Explanation: A invest 5000 for 4 months and withdraw half amount after 4 months so next 8 months A’s investment is 2500.
B invest 4500 and after 6 month he withdraw half of his capital and next 6 month only half.

             A                 B                C
             5000x4         4500x6              7000x6      
             2500x8         2250x6
Total =      40000         40500               42000                 
Ratio=        80       :     81        :        84

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