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If A invests $4000 and B invests $6000 in a business, and they share the profit

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Question: If A invests $4000 and B invests $6000 in a business, and they share the profit in the ratio of their investments, what is A\'s share of a $2000 profit?

Options:

  1. $800
  2. $600
  3. $1000
  4. $1200

Correct Answer: $800

Solution:

Total investment = 4000 + 6000 = 10000. A\'s share = (4000/10000) * 2000 = $800.

If A invests $4000 and B invests $6000 in a business, and they share the profit

Practice Questions

Q1
If A invests $4000 and B invests $6000 in a business, and they share the profit in the ratio of their investments, what is A's share of a $2000 profit?
  1. $800
  2. $600
  3. $1000
  4. $1200

Questions & Step-by-Step Solutions

If A invests $4000 and B invests $6000 in a business, and they share the profit in the ratio of their investments, what is A's share of a $2000 profit?
  • Step 1: Identify the amount A invested, which is $4000.
  • Step 2: Identify the amount B invested, which is $6000.
  • Step 3: Calculate the total investment by adding A's and B's investments: 4000 + 6000 = 10000.
  • Step 4: Determine the ratio of A's investment to the total investment: 4000 / 10000.
  • Step 5: Calculate A's share of the profit by multiplying the ratio by the total profit: (4000 / 10000) * 2000.
  • Step 6: Simplify the calculation: 0.4 * 2000 = 800.
  • Step 7: Conclude that A's share of the $2000 profit is $800.
  • Ratio and Proportion – Understanding how to divide profits based on the ratio of investments.
  • Basic Arithmetic – Performing addition and multiplication to calculate shares.
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