Abdul and Mohsin together invested ₹56,000 in a business. At the end of the…
2025
Abdul and Mohsin together invested ₹56,000 in a business. At the end of the year, out of a total profit of ₹16,000, Mohsin's share was ₹2,700. What was the difference of their investment?
- A.
₹38,670
- B.
₹37,100
- C.
₹36,122
- D.
₹38,052
Show answer & explanation
Correct answer: B
Concept
When two or more partners invest capital for the SAME time period, the total profit is divided in exact proportion to their investments. This works both ways: if the profit shares are known, the ratio of the shares directly gives the ratio of the investments.
Application
Total profit = ₹16,000 and Mohsin's share = ₹2,700, so Abdul's share = 16,000 − 2,700 = ₹13,300.
Since profit is shared in the ratio of investment, Mohsin : Abdul (investment) = Mohsin : Abdul (profit share) = 2,700 : 13,300.
Dividing both terms by their HCF (100) gives the ratio in lowest terms: 2,700 : 13,300 = 27 : 133.
Sum of the ratio parts = 27 + 133 = 160, and this represents the total investment of ₹56,000, so 1 part = 56,000 ÷ 160 = ₹350.
Mohsin's investment = 27 × 350 = ₹9,450.
Abdul's investment = 133 × 350 = ₹46,550.
Difference of their investments = 46,550 − 9,450 = ₹37,100.
Cross-check
The two investments add up to 9,450 + 46,550 = ₹56,000, matching the given total. Also, Mohsin's profit share works out to 16,000 × (27 ÷ 160) = ₹2,700, exactly matching the given data, confirming the ratio is correct.
So the difference between Abdul's and Mohsin's investments is ₹37,100.