Capital Employed in a partnership firm is ₹50,00,000. Its average profit is ₹6,00,000. The normal rate of return in similar type of business is 10%. The amount of super profit is:

₹1,00,000

The correct answer is Option (4) - ₹1,00,000.

Normal profit = Capital employed x Normal rate of return/100
                     = 5000000 x 10/100
                     = ₹500000

Average profit = ₹600000

Super profit = Average profit - Normal profit
                  = 600000 - 500000
                  = ₹100000