A starts a business with Rs. 25,000. After 6 months B joins A with Rs. 15,000. Find their profit sharing ratio after one year.
Answer & explanation
Correct answer: option 2
A : B
Inv. ratio ⇒ 5 : 3
Time ratio ⇒ 2 : 1
Profit ratio⇒ 10 : 3 *(Profit = Inv. × time)