Xavier Aptitude Test 2012 Paper

Question : 83 of 85

Marks: +1, -0

Ram and Shyam form a partnership (with Shyam as working partner) and start a business by investing Rs. 4000 and Rs. 6000 respectively. The conditions of partnership were as follows:
• In case of profits till Rs. 2,00,000 per annum, profits would be shared in the ratio of the invested capital.
• Profits from Rs.2,00,001 till Rs. 4,00,000 Shyam would take 20% out of the profit, before the division of remaining profits, which will then be based on ratio of invested capital.
• Profits in excess of Rs.4,00,000, Shyam would take 35% out of the profits beyond Rs. 4,00,000, before the division of remaining profits, which will then be based on ratio of invested capital.
If Shyam's share in a particular year was Rs. 3,67,000 which option indicates the total business profit (in Rs.) for that year?

5,20,000
5,30,000
5,40,000
5,50,000
None of the above

Validate

Solution:

(d) For first

\Rs.200,000

Shyam gets

\ [\ {6000}/{4000+6000}\ ) × 100

=60 \%

of the profit
For next

Rs\ 200,000,

he gets

20 \%+60 \%

of the remainingprofit.

=20 \%+80 ×0.6 \%=68 \%

Similarly, for a profit margin greater than

Rs.400000.

He will
get

35\ % + 65 × 0.6\ % = 74\ %

of the profits beyond

Rs.400,000

Now for a profit of first

Rs. 400,000,

Shyam will receive

200000 \×{(68+60)}/{100}=256000

But Shyam earns a total profit of

\Rs. 367000 .

Let total profit
earned by them be

\Rs. 400000+x

Hence Shyam received

367000 \ –\ 256000 = Rs.111000

From

R s . x

profit
i.e.

\ Rs. 111000

is 74

\%

x

\∴\ x= {111000}/{0.74}=150,000

Hence total profit earned by them

=400000+150000=3550,000

Hence option (d)

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