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A and B invests Rs.8000 and Rs.9000 in a business. After 4 months, A withdraws half of his capital and 2 months later, B withdraws one-third of his capital. In what ratio should they share the profits at the end of the year?

Correct answer: C. 32:45

  • A. 20:23
  • B. 34:43
  • C. 32:45
  • D. 37:45

Explanation

A's investment-time is Rs. 8000 x 4 + Rs. 4000 x 8 = Rs. 64000. B's is Rs. 9000 x 6 + Rs. 6000 x 6 = Rs. 90000, so the profit ratio is 64000:90000 = 32:45. Option a is a likely mistake from treating A's withdrawal as removing all of his capital.

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