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A and B invest in a business in the ratio 5:7. If the total profit is $24,000, h

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Question: A and B invest in a business in the ratio 5:7. If the total profit is $24,000, how much does A receive?

Options:

  1. $10,000
  2. $12,000
  3. $14,000
  4. $16,000

Correct Answer: $12,000

Solution: 

Total parts = 5 + 7 = 12. A\'s share = 5/12 * 24000 = $10,000.

A and B invest in a business in the ratio 5:7. If the total profit is $24,000, h

Practice Questions

Q1
A and B invest in a business in the ratio 5:7. If the total profit is $24,000, how much does A receive?
  1. $10,000
  2. $12,000
  3. $14,000
  4. $16,000

Questions & Step-by-Step Solutions

A and B invest in a business in the ratio 5:7. If the total profit is $24,000, how much does A receive?
Correct Answer: $10,000
  • Step 1: Identify the ratio of investment between A and B, which is 5:7.
  • Step 2: Add the parts of the ratio together: 5 + 7 = 12 parts.
  • Step 3: Determine A's share of the total profit. A's share is 5 parts out of the total 12 parts.
  • Step 4: Calculate A's share of the profit by multiplying A's parts by the total profit: (5/12) * 24000.
  • Step 5: Perform the calculation: 5/12 * 24000 = 10000.
  • Step 6: Conclude that A receives $10,000.
  • 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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