A, B, and C invest in a business with investments of $4000, $6000, and $10000 re

Practice Questions

Q1
A, B, and C invest in a business with investments of $4000, $6000, and $10000 respectively. If the total profit is $6000, how much does C receive?
  1. $2000
  2. $3000
  3. $4000
  4. $5000

Questions & Step-by-Step Solutions

A, B, and C invest in a business with investments of $4000, $6000, and $10000 respectively. If the total profit is $6000, how much does C receive?
  • Step 1: Identify the investments of A, B, and C. A invests $4000, B invests $6000, and C invests $10000.
  • Step 2: Calculate the total investment by adding A's, B's, and C's investments together: 4000 + 6000 + 10000.
  • Step 3: The total investment is $20000.
  • Step 4: Determine C's share of the total investment by dividing C's investment by the total investment: 10000 / 20000.
  • Step 5: Calculate C's share of the profit by multiplying C's share of the investment by the total profit: (10000 / 20000) * 6000.
  • Step 6: The result is C's profit, which is $3000.
  • Profit Sharing – Understanding how profits are distributed based on the proportion of investment.
  • Ratios and Proportions – Calculating shares based on the ratio of individual investments to total investments.
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