Question

23. Aren Chomski, Warner Howe, and Brown Ledbetter invested $1,000, $1,500,and $3,500, respectively, in a business partnership. If the annual profit of$1,500 is divided among them in proportion to their investments, how muchwill Aren receive?a. $300 b. $250 c. $1,000 d. $375

Answer 1

To solve this question, first find the ratio of investment as shown below:

`1000\colon1500\colon3500=2\colon3\colon7`

The ratio is obtained by dividing by 500.

Now let the common multiple be x.

`\begin{gathered} 2x+3x+7x=1500 \\ 12x=1500 \\ x=(1500)/(12) \\ x=125 \end{gathered}`

So Aren receives 2x=$250

Warner receives 3x=$375

Brown receives 7x=$875