A and B invest in a business with a profit-sharing ratio of 2:3. If the total pr

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Question: A and B invest in a business with a profit-sharing ratio of 2:3. If the total profit is $7000, how much does B receive?

Options:

Correct Answer: $3500

Solution:

Total parts = 2 + 3 = 5. B\'s share = (3/5) * 7000 = $4200.

A and B invest in a business with a profit-sharing ratio of 2:3. If the total profit is $7000, how much does B receive?

A and B invest in a business with a profit-sharing ratio of 2:3. If the total profit is $7000, how much does B receive?

Step 1: Identify the profit-sharing ratio between A and B, which is 2:3.
Step 2: Add the parts of the ratio together: 2 + 3 = 5 parts.
Step 3: Determine how many parts B has in the ratio, which is 3 parts.
Step 4: Calculate B's share of the total profit by using the formula: (B's parts / Total parts) * Total profit.
Step 5: Substitute the values into the formula: (3/5) * 7000.
Step 6: Perform the calculation: 3/5 = 0.6, then 0.6 * 7000 = 4200.
Step 7: Conclude that B receives $4200.

Profit Sharing Ratio – Understanding how to divide profits based on a given ratio.
Fraction Calculation – Calculating a portion of a total amount using fractions.