New 👉 Ask your RBI Grade B 2025 Preparation Queries Here!!

    Register

    Question

    'Arman' and 'Malik' initiated a business venture with

    their individual investments. 'Arman,' who actively participated in the business, received Rs. 2,400 as a commission from the total profit. The remaining profit was divided in proportion to their respective investments. 'Arman' also received 75% of this remaining amount as his profit share. Additionally, 'Malik' received a profit share for his investment that was Rs. 4,000 less than 'Arman's profit share for his investment. Calculate the total profit generated by the business.
    A Rs.10,450 Correct Answer Incorrect Answer
    B Rs.10,400 Correct Answer Incorrect Answer
    C Rs.10,500 Correct Answer Incorrect Answer
    D Rs.10,652 Correct Answer Incorrect Answer
    E none of these Correct Answer Incorrect Answer

    Solution

    We can say that, Let the total profit received from the business be Rs.(4a + 2400) Amount taken by 'Arman' for managing the business = Rs.2,400 So, remaining amount = 4a + 2400 - 2400 = Rs.'4a' Amount received by 'Arman' as his profit share (for his investment)  = (0.75 × 4a)  = Rs.'3a' Profit share received by 'Malik'  = 4a - 3a  = Rs.'a' ATQ; 3a - a = 4000 Or, 2a = 4000 Or, a = 2000 So, total profit earned by the business  = 4a + 2400  = 4 × 2000 + 2400  = Rs. 10,400

    Practice Next

    Relevant for Exams: