Divided proportionally,
9x+7x+4x=1500
x=75
so X:Y:Z = 675:525:300
So, 675-500 = 175 less
Three individuals form a partnership and agree to divide the profits equally. X invests $4,500, Y invests $3,500 and Z invests $2,000. If the profits are $1,500, how much less does X receive than if the profits were divided in proportion to the amount invested?
4 answers
how did u get 9x+7x+4x=1500
The amount that X invested is 45% of total investment
So the profit X receives must be 45%*1500=676
But X received the same amount as other 2 investors: 1500:3=500
So X received (675-500)=175 less than he should receive
So the profit X receives must be 45%*1500=676
But X received the same amount as other 2 investors: 1500:3=500
So X received (675-500)=175 less than he should receive
Sorry for the mistake in my previous response. Here's the correct solution:
The total amount invested is $4,500 + $3,500 + $2,000 = $10,000.
If the profits were divided proportionally to the amount invested, X would receive:
($1,500) x ($4,500/$10,000) = $675
Similarly, Y would receive:
($1,500) x ($3,500/$10,000) = $525
And Z would receive:
($1,500) x ($2,000/$10,000) = $300
Therefore, X would receive $500 in the equal profit sharing arrangement, so X would receive $175 less than if the profits were divided proportionally to the amount invested.
The total amount invested is $4,500 + $3,500 + $2,000 = $10,000.
If the profits were divided proportionally to the amount invested, X would receive:
($1,500) x ($4,500/$10,000) = $675
Similarly, Y would receive:
($1,500) x ($3,500/$10,000) = $525
And Z would receive:
($1,500) x ($2,000/$10,000) = $300
Therefore, X would receive $500 in the equal profit sharing arrangement, so X would receive $175 less than if the profits were divided proportionally to the amount invested.
3 answers