For a period of three years, three buddies, P, Q, and R, formed a partnership firm in which they invested money in a 5:4:2 ratio. What is the amount that P earned as a share profit? I. The total amount of money invested in the company is Rs. 22,000 II. The profit earned after three years is a percentage of the entire investment. III. The annual profit gained is on average Rs. 2750.
A. I or II or III
B. Either III only, or I and II together
C. All I, II and III are required.
D. None of these
Answer:B
For a period of three years, three buddies, P, Q, and R, formed a partnership firm in which they invested money in a 5:4:2 ratio. What is the amount that P earned as a share profit? I. The total amount of money invested in the company is Rs. 22,000 II. The profit earned after three years is a percentage of the entire investment. III. The annual profit gained is on average Rs. 2750.
A. I or II or III B. Either III only, or I and II together C. All I, II and III are required. D. None of these
Explanation: Using I and II, profit after three years is Rs. 3/8 x 22000 = Rs. 8250.Profit after three years = Rs. (2750 x 3) = Rs. 8250 (from III).P's portion is Rs.8250 multiplied by 5/11 to get Rs. 3750.As a result (either III is redundant [or] I and II are redundant). The correct response is (B).