Profits of KSh 50,000 are shared in the ratio 3 : 2. How much is the larger share?
Answer and explanation
Correct answer: A. KSh 30,000
- Step 1: Total parts = 3 + 2 = 5, so one part = 50,000 / 5 = 10,000. Step 2. Larger share = 3 x 10,000 = KSh 30,000. Answer: KSh 30,000. Why not the others: KSh 20,000: That is the smaller share. KSh 25,000: That divides the profit equally. KSh 10,000: That is the value of one part only.
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