The ratio of investments of A, B, and C in a venture is 4:5:6. At the end of the year, their profits are in the ratio 2:3:4. What is the ratio of the time periods for which their capitals were invested?
Answer and explanation
Correct answer: D. 15:18:20
- T_A = 30 * (1/2) = 15
- T_B = 30 * (3/5) = 18
- T_C = 30 * (2/3) = 20.
- T_B = 30 * (3/5) = 18
- T_C = 30 * (2/3) = 20.
- Step 1: Profit = Investment * Time => Time = Profit / Investment.
- Step 2: Ratios: T_A : T_B : T_C = (2/4) : (3/5) : (4/6) = (1/2) : (3/5) : (2/3).
- Step 3: Multiply by LCM(2, 5, 3) = 30:
- Step 4: Ratio is 15:18:20.
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