M and N contribute to a business investment in the ratio 2:7. They earn a profit of ₹81,000. M is a working partner and receives 15% of the profit extra. What is M's total share?
Correct Answer :
₹27,450
Solution :
The correct option is ₹27,450.
Let's solve the problem step-by-step to find M's total share from the business profit.
Step 1: Calculate M's extra allowance for being a working partner.
The total profit earned by the business is ₹81,000.
As a working partner, M receives 15% of the total profit extra before the remaining profit is shared.
Step 2: Calculate the remaining profit to be distributed based on investment ratio.
Step 3: Calculate M's share from the remaining profit.
M and N contributed to the business in the ratio 2 : 7.
Total ratio parts = 2 + 7 = 9 parts.
M's share of the remaining profit is 2 parts out of 9:
Step 4: Calculate M's total share.
M's total share consists of the extra allowance plus M's share from the remaining profit:
Thus, M's total share is ₹27,450.
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