Practice mode Partnership

A invests Rs. 80,000 as a sleeping partner and B invests Rs. 40,000 as a working partner drawing Rs. 2,500 a month. The remaining profit is shared in the capital ratio. If the annual profit is Rs. 1,05,000, what does B receive?

Correct answer C. Rs. 55,000

Explanation

B's salary = 2,500 × 12 = Rs. 30,000. Remaining 75,000 is shared 2 : 1, so B gets 25,000. B's total = Rs. 55,000.

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