A and B invest in a business with A investing $8000 and B investing $12000. If t

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Question: A and B invest in a business with A investing $8000 and B investing $12000. If the total profit is $2000, what is A\'s share of the profit?

Options:

$800
$600
$400
$1000

Correct Answer: $800

Solution:

Total investment = 8000 + 12000 = $20000. A\'s share = (8000/20000) * 2000 = $800.

A and B invest in a business with A investing $8000 and B investing $12000. If t

Practice Questions

A and B invest in a business with A investing $8000 and B investing $12000. If the total profit is $2000, what is A's share of the profit?

$800
$600
$400
$1000

Questions & Step-by-Step Solutions

A and B invest in a business with A investing $8000 and B investing $12000. If the total profit is $2000, what is A's share of the profit?

Step 1: Identify the amount A invested, which is $8000.
Step 2: Identify the amount B invested, which is $12000.
Step 3: Calculate the total investment by adding A's and B's investments: 8000 + 12000 = 20000.
Step 4: Calculate A's share of the total investment by dividing A's investment by the total investment: 8000 / 20000.
Step 5: Multiply A's share of the investment by the total profit to find A's share of the profit: (8000 / 20000) * 2000.
Step 6: Calculate the result: (0.4) * 2000 = 800.
Step 7: Conclude that A's share of the profit is $800.

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

A and B invest in a business with A investing $8000 and B investing $12000. If t

What’s inside this PDF?

A and B invest in a business with A investing $8000 and B investing $12000. If t

Practice Questions

Questions & Step-by-Step Solutions

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