In a partnership business, B’s capital was half of A’s capital. If after 8 months, B withdraw half of his capital and after 2 more months A withdraw \(\frac{1}{4}\)th of the capital, then their profit ratio at the end of one year will be:
Answer & explanation
Correct answer: option 4
Let investment of A = 4R
and investment of B = 2R
After withdrawal:
Investment of A = 1R
Investment of B = 1R
ATQ,
(A1 : A) : ( B : B1)
Inv. 1 : 4 : 2 : 1
Time 2 : 10 : 8 : 4
Profit: (2 + 40) : (16 + 4)
42 : 20
21 : 10