X, Y and Z enter into a partnership with capital shares in the ratio 1/4 : 1/6…

2026

X, Y and Z enter into a partnership with capital shares in the ratio 1/4 : 1/6 : 1/10. At the end of one year, X withdraws one-fourth of his capital and Z withdraws half of his capital. The profit of ₹2511 for that completed year is then divided among them. What is Z's share (in ₹) in the profit?

Answer: D. 486ConceptIn a partnership, profit is divided in the ratio of capital multiplied by the time for which that capital remains invested. A capital change made at…

  1. A.

    493

  2. B.

    464

  3. C.

    433

  4. D.

    486

Attempted by 12 students.

Show answer & explanation

Correct answer: D

Concept

In a partnership, profit is divided in the ratio of capital multiplied by the time for which that capital remains invested.

A capital change made at the end of the accounting period does not alter that period's capital-time weights.

Application

  1. Scale 1/4 : 1/6 : 1/10 by the LCM 60. The capital ratio is 15 : 10 : 6.

  2. All three capitals remain unchanged throughout the completed year; the withdrawals occur only at its end. Thus their capital-time weights remain 15 : 10 : 6.

  3. The total is 15 + 10 + 6 = 31 units, so one unit of profit is ₹2511 ÷ 31 = ₹81.

  4. Z has 6 units, so Z's share is 6 × ₹81 = ₹486.

Cross-check

₹486/₹2511 = 6/31, exactly Z's capital-time fraction. Therefore Z's share is ₹486.

Explore the full course: Rssb Senior Computer Instructor

Loading lesson…