C, D, and E invest in a business in the ratio 1:2:3. If the total profit is $12,

Practice Questions

Q1
C, D, and E invest in a business in the ratio 1:2:3. If the total profit is $12,000, how much does D receive?
  1. $2,000
  2. $4,000
  3. $6,000
  4. $8,000

Questions & Step-by-Step Solutions

C, D, and E invest in a business in the ratio 1:2:3. If the total profit is $12,000, how much does D receive?
Correct Answer: $4,000
  • Step 1: Identify the ratio of investments made by C, D, and E, which is 1:2:3.
  • Step 2: Add the parts of the ratio together: 1 + 2 + 3 = 6 parts in total.
  • Step 3: Determine D's share of the total profit. D's part in the ratio is 2 out of the total 6 parts.
  • Step 4: Calculate D's share of the profit by multiplying D's part (2) by the total profit ($12,000) and then dividing by the total parts (6): (2/6) * 12000.
  • Step 5: Simplify the calculation: (2/6) is the same as 1/3, so D's share is 1/3 of $12,000.
  • Step 6: Calculate 1/3 of $12,000, which equals $4,000.
  • Ratio and Proportions – Understanding how to divide profits based on given ratios.
  • Basic Arithmetic – Performing addition and multiplication to calculate shares.
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