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A and B invest Rs. 3000 and Rs. 2400 respectively in a business. If after one year there is a loss Rs. 720, how much loss will B bear? (loss or profit is in proportion to their investment)
Answer & Solution
Correct Answer:
Option
B
∵ Loss will be divided according to their investment ratio =
$$\eqalign{
& {\text{Loss of B}} = \frac{4}{{\left( {5 + 4} \right)}} \times 720 \cr
& \,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\, = {\text{Rs}}{\text{. 320}} \cr} $$
| A | : | B |
| 3000 | : | 2400 |
| 5 | : | 4 |
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LoginThe total investment is the sum of A's and B's investments:
Total investment = Rs. 3000 + Rs. 2400 = Rs. 5400
The ratio of B's investment to the total investment is:
B's investment ratio = Rs. 2400 / Rs. 5400 = 4/9
To calculate the loss that B will bear, we multiply the investment ratio by the total loss:
Loss borne by B = B's investment ratio * Total loss
Loss borne by B = (4/9) * Rs. 720 = Rs. 320
Therefore, B will bear a loss of Rs. 320.
The correct answer is B. Rs. 320.