Anil and Ravi invested Rs. 60,000 and Rs. 40,000 respectively in a business…
2025
Anil and Ravi invested Rs. 60,000 and Rs. 40,000 respectively in a business for the same time period. At the end of the year, the business incurred a loss of Rs. 5,000. What was the loss percentage for Ravi?
- A.
2%
- B.
3%
- C.
5%
- D.
8%
Attempted by 1 students.
Show answer & explanation
Correct answer: C
CONCEPT: When two or more partners invest capital for the SAME time period, any profit or loss is divided strictly in the ratio of their investments (capital amounts). If a partner's own investment is I out of a total investment T, that partner's share of the loss is (I / T) x total loss, and that partner's LOSS PERCENTAGE is found by dividing their own loss share by their OWN investment, then multiplying by 100 - never by the combined/total investment of the partnership.
APPLICATION:
Ratio of investments of Anil and Ravi = 60,000 : 40,000 = 3 : 2 (dividing both amounts by 20,000).
Total number of ratio parts = 3 + 2 = 5.
Ravi's share of the total loss of Rs. 5,000 = (2/5) x 5,000 = Rs. 2,000.
Ravi's loss percentage = (Ravi's loss share / Ravi's own investment) x 100 = (2,000 / 40,000) x 100 = 5%.
CROSS-CHECK: Anil's share of the loss = (3/5) x 5,000 = Rs. 3,000, and Anil's loss percentage = (3,000 / 60,000) x 100 = 5% as well. The two shares add up correctly: Rs. 2,000 + Rs. 3,000 = Rs. 5,000, the total loss given in the question. (Whenever a loss is shared strictly in the investment ratio for equal time periods, every partner's individual loss PERCENTAGE comes out equal - here 5% for both Anil and Ravi - which is a useful sanity check on this kind of problem.)
Result: Ravi's loss percentage is 5%.