Rs. 3,60,000, Rs. 4,20,000 and Rs. 4,80,000 were invested by three friends A, B and C respectively in a business. If they earned a net profit of Rs. 2,10,000, the share of B’s profit is:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Rs. 70,000
The money is invested for the same period, so the profit is shared in the ratio of the investments:
\(3{,}60{,}000 : 4{,}20{,}000 : 4{,}80{,}000 = 36 : 42 : 48 = 6 : 7 : 8\)
The ratio has \(6 + 7 + 8 = 21\) parts, and B gets 7 of them:
\( \displaystyle \text{B's share} = \frac{7}{21} \times 2{,}10{,}000 = 70{,}000 \)