Question

Two partners invest Rs 120000 and Rs 84000 in a business and agree that 70% of the profit should be divided equally between them and the remaining profit is to be treated as interest on capital. If one person gets Rs 900 more than the other then find the total profit made in the business.

Answer 1

Ratio of capital $=120000:84000$

$=120:84=10:7$

$10x+7x=70\%$ of profit

$17x=70\%$ of profit

$10x-7x=$Rs. $900$

$3x=$Rs. $900$

$\Rightarrow x=$Rs. $300$

$17x=17\times 300=$Rs. $5100$

$\therefore$ Total profit $=\frac{5100}{70}\times 100=7285.7$

$=$Rs. $7286$.