Examples of Partnership 4
In this class, We discuss Examples of Partnership 4.
The reader should have prior knowledge of basic examples. Click Here.
Example 1:
A, B, and C thought of themselves in a business venture.
A would invest Rs 6500 for six months.
B invested Rs 8400 for five months.
C invests Rs 10000 for three months.
A wants to be a working member for which he receives 5% of profits.
The profit earned was Rs 7400. Calculate the share of B in the profit.
Solution:
A receives 5% of 7400.
(5/100)*7400 = 370
Balance = 7400 – 370 = 7030
Ratio of their investments = (6500*6): (8400*5): (10000*3)
= 13: 14: 10
B’s share = (14/37)*7030 = 2660
Example 2:
Three partners shared the profit in a business in the ratio 5: 7: 8.
They had partnered for 14 months, eight months, and seven months respectively.
What was the ratio of their investments?
Solution:
Let their investments be x, y, and z.
14x: 8y: 7z = 5: 7: 8
(14x/8y) = 5/7
y = 7x/4
14x/7z = 5/8
z = 16x/5
x: y: z = x: 7x/4: 16x/5
= 20: 35: 64