Arithmetic aptitude :: Partnership :: Data Sufficiency 1

• Partnership - General
• Partnership - Data Sufficiency 1
• Partnership - Data Sufficiency 2
• Partnership - Data Sufficiency 3
• Partnership - Important Formulas and Facts

Partnership:

When two or more people runs a joint business, they are called partners and the deal is known as partnership.

Ratio of Divisions of Gains

If two partners, $A$ and $B$ invest Rs. $x$ and Rs. $y$ respectively for a year in a business, then at the end of the year:
($A$'s share of profit) : ($B$'s share of profit) $=x:y$.

If $A$ invests Rs. $x$ for $p$ months and $B$ invests Rs. $y$ for $q$ months then,
($A$'s share of profit) : ($B$'s share of profit) $=xp:yq$.

Working and Sleeping Partners:

working partner is the one who runs the business and sleeping partner is the one who simply invests the money in the business.

R, A and V started a business together. In what proportion would the annual profit be distributed among them?

I. R got one-fourth of the profit.

II. R and V contributed 75% of the total investment.

Answer:

Explanation:

Let the total investment be Rs. $x$

Then, $R=\left(\frac{x}{4}\right)$

$R+V$ $=\left(\frac{75}{100}\times x\right)$ $=\frac{3x}{4}$

$V$ $=\left(\frac{3x}{4}-\frac{x}{4}\right)$ $=\frac{x}{2}$

$\therefore$ $A$ $=x-\left(\frac{x}{4}+\frac{x}{2}\right)$ $=\frac{x}{4}$

$R:A:V$ $=\frac{x}{4}$ $:\frac{x}{4}$ $:\frac{x}{2}$ $=1:1:2$.

Thus, both I and II are needed to get the answer.

$\therefore$ Correct answer is (E).

A and B start a business jointly. What is A's share out of an annual profit of Rs. 23,800 ?.

I) B's investment is $12\frac{1}{2}\%$ more than A's investment.

II) A's investment is Rs. 1,20,000.

Answer:

Explanation:

Annual profit = $Rs.23800$.

I. Let A's investment = Rs.$x$. Then, B's investment = $112\frac{1}{2}\%$ of Rs. $x$

$=Rs.\left(\frac{9x}{8}\right)$.

$\therefore A:B$ $=x:\frac{9x}{8}$ $=8:9$.

A's share = Rs. $\left(23800\times\frac{8}{17}\right)$ = Rs. 11200.

Thus, I only gives the answer.

II. A's investment = Rs. 120000

This is not sufficient to get the answer.

Thus, I gives the answer but II is not sufficient to get the answer.

$\therefore$ Correct answer is (A).

A, B and C are running a business firm in partnership. What is B's share in the profit earned by them?

I) A, B and C invested the amounts in the ratio of 2 : 4 : 7

II) C's share in the profit is Rs. 8750

Answer:

Explanation:

I. $A:B:C$ $=2:4:7$.

II. $C = 8750$.

From I and II, we get:

When $C=7$, then $B=4$.

When $C=8750$, then $B=\frac{4}{7}\times 8750$ $=5000$.

Thus, both I and II are needed to get the answer.

Correct answer is (E).

• Partnership - General
• Partnership - Data Sufficiency 1
• Partnership - Data Sufficiency 2
• Partnership - Data Sufficiency 3