Question Details

Two persons P and Q enter into a business. P puts ₹ 14,000 more than Q, but P has invested for 8 months and Q has invested for 10 months. If P’s share is ₹ 400 more than Q’s share out of the total profit of ₹ 2,000, what is the capital contributed by P?

Options

A

₹ 30,000

B

₹ 26,000

C

₹ 24,000

D

₹ 20,000

Show Answer

Correct Answer :

Option A

₹ 30,000

Solution :

The correct option is ₹ 30,000.

Let us break down the solution step-by-step to understand how we arrive at this answer.

Step 1: Understand the division of profit
The total profit from the business is ₹ 2,000.
Let the profit share of Q be ₹ x.
According to the question, P's profit share is ₹ 400 more than Q's share. Therefore, P's profit share is ₹ (x + 400).

Since the total profit is the sum of the profit shares of P and Q, we can write:
P ' s   share + Q ' s   share = Total Profit

( x + 400 ) + x = 2000

2 x + 400 = 2000

2 x = 1600

x = 800

So, Q's share of the profit is ₹ 800, and P's share of the profit is:
800 + 400 = 1200

Therefore, the ratio of the profits of P and Q is:
Profit of  P Profit of  Q = 1200 800 = 3 2

Step 2: Relate profit ratio to investment and time
In a partnership, the ratio of profit distribution is directly proportional to the product of the capital invested and the time period of investment.
Profit of  P Profit of  Q = Capital of  P × Time of  P Capital of  Q × Time of  Q

Let the capital contributed by Q be ₹ CQ.
Since P contributes ₹ 14,000 more than Q, the capital contributed by P is ₹ (CQ + 14,000).
The investment duration for P is 8 months, and for Q is 10 months.

Substituting these values into the ratio formula:
3 2 = ( C Q + 14000 ) × 8 C Q × 10

Step 3: Solve for Q's capital (CQ)
First, simplify the fraction on the right-hand side:
3 2 = 4 × ( C Q + 14000 ) 5 × C Q

Cross-multiplying to solve for CQ:
3 × 5 C Q = 2 × 4 × ( C Q + 14000 )

15 C Q = 8 C Q + 112000

Subtracting 8CQ from both sides:
7 C Q = 112000

C Q = 112000 7

C Q = 16000

Thus, Q's capital contribution is ₹ 16,000.

Step 4: Find the capital contributed by P
P's capital is ₹ 14,000 more than Q's capital:
Capital of  P = C Q + 14000

Capital of  P = 16000 + 14000 = 30000

Therefore, the capital contributed by P is ₹ 30,000.

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