C and D start a business with investments of $10,000 and $15,000 respectively. I

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Question: C and D start a business with investments of $10,000 and $15,000 respectively. If the total profit is $5,000, how much does C receive?

Options:

Correct Answer: $2,500

Solution:

C\'s share = (10,000 / (10,000 + 15,000)) * 5,000 = (10,000 / 25,000) * 5,000 = $2,000.

C and D start a business with investments of $10,000 and $15,000 respectively. If the total profit is $5,000, how much does C receive?

C and D start a business with investments of $10,000 and $15,000 respectively. If the total profit is $5,000, how much does C receive?

Step 1: Identify the investments of C and D. C invested $10,000 and D invested $15,000.
Step 2: Calculate the total investment by adding C's and D's investments together. Total investment = $10,000 + $15,000 = $25,000.
Step 3: Determine C's share of the total investment by dividing C's investment by the total investment. C's share = $10,000 / $25,000.
Step 4: Calculate C's share of the profit by multiplying C's share of the investment by the total profit. C's profit = (C's share) * $5,000.
Step 5: Substitute the values into the equation: C's profit = ($10,000 / $25,000) * $5,000.
Step 6: Simplify the equation: C's profit = (0.4) * $5,000 = $2,000.
Step 7: Conclude that C receives $2,000 from the total profit.

Profit Sharing – Understanding how profits are distributed based on the ratio of investments made by each partner.
Ratios and Proportions – Calculating shares based on the total investment and the respective contributions of each partner.