A and B invest in a business in the ratio 3:5. If the total profit is $40,000, h

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Question: A and B invest in a business in the ratio 3:5. If the total profit is $40,000, how much does A receive?

Options:

Correct Answer: $18,000

Solution:

Total parts = 3 + 5 = 8. A\'s share = 3/8 * 40000 = $15,000.

A and B invest in a business in the ratio 3:5. If the total profit is $40,000, how much does A receive?

A and B invest in a business in the ratio 3:5. If the total profit is $40,000, how much does A receive?

Correct Answer: $15,000

Step 1: Understand the ratio of investment between A and B, which is 3:5.
Step 2: Add the parts of the ratio together: 3 (A's part) + 5 (B's part) = 8 total parts.
Step 3: Determine A's share of the total profit. A's share is 3 parts out of 8 total parts.
Step 4: Calculate A's share of the profit by multiplying A's parts by the total profit: (3/8) * 40000.
Step 5: Perform the calculation: 3/8 of 40000 = 15000.
Step 6: Conclude that A receives $15,000.

Ratio and Proportion – Understanding how to divide profits based on the ratio of investments.
Basic Arithmetic – Performing addition and multiplication to calculate shares.