A and B invest in a business in the ratio of 4:5. If A's investment is $16,000,

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Question: A and B invest in a business in the ratio of 4:5. If A\'s investment is $16,000, what is B\'s investment?

Options:

Correct Answer: $20,000

Solution:

If A\'s investment is 4 parts, then B\'s investment = (5/4) * 16000 = $20,000.

A and B invest in a business in the ratio of 4:5. If A's investment is $16,000, what is B's investment?

A and B invest in a business in the ratio of 4:5. If A's investment is $16,000, what is B's investment?

Step 1: Understand the ratio of A's investment to B's investment, which is 4:5.
Step 2: Identify A's investment amount, which is $16,000.
Step 3: Since A's investment represents 4 parts of the total ratio, calculate the value of one part by dividing A's investment by 4. This gives us 16000 / 4 = $4,000 per part.
Step 4: Now, calculate B's investment, which represents 5 parts. Multiply the value of one part ($4,000) by 5. This gives us 5 * 4000 = $20,000.
Step 5: Conclude that B's investment is $20,000.

Ratio and Proportion – Understanding how to use ratios to determine proportional investments.
Basic Arithmetic – Applying multiplication and division to solve for unknown values.