Question

A small company makes a profit of $8000. This is divided between the
directors in the ratio of their initial investments. If Alex put $20000 into
the firm, Maria $35000 and Ahmet $25000, calculate the amount of the
profit they will each receive.

Answer 1

ratio of their investments = L:M:A

= 20000:35000:25000

=4:7:5

4+7+5 =16

alex:

4/16 ×20000 = 5000

maria:

7/16 ×35000 = 15312.5

Ahmed:

5/16 ×25000 = 7812.5