Question

Three friends start a business and decide to split the profits equally. Susan invests $6,000, John invests $4,000, and Pria invests $7,000. If the profits are $12,000, how much of the profits would Pria receive if the profits were divided proportional to how much each friend invested

Answer 1

Susan investment = $6000

John investement = $4000

Pria investment = $12000

investment proportion of Susan, John and Pria = 6:4:12= 3:2:6

Hence, Pria share in profit = (6/11)*$12000

= $ 6,545.454

Answer 2

Pria receives $4941.18 of the profits.

Explanation:

• Susan invested $6,000,

• John invested $4000,

• Pria invested $7000.

The ratio of their investments Susan : John : Pria is 6000 : 4000 : 7000 ,

⇒ 6 : 4 : 7

This means that Pria should receive 7/17 th of the total profits.

∴ Pria receives =
`(7)/(17)` × $12,000

= $4941.18