Business Studies, asked by Advitiya4079, 1 year ago

Two years ago, arthur gave each of his five children 20% of his fortune to invest in any way they saw fit. in the first year, three of the children, alice, bob, and carol, each earned a profit of 50% on their investments, while two of the children, dave and errol, lost 40% on their investments. in the second year, alice and bob each earned a 10% profit, carol lost 60%, dave earned 25% in profit, and errol lost all the money he had remaining. what percentage of arthur's fortune currently remains?

Answers

Answered by Tringa0
0

Answer: Arthur has the 93% of his investment remaining

Explanation: There are five children of Arthur, whom he distributed 20% of his wealth to each child.

Let the total wealth of Arthur be Rs. 100

1. Alice: Rs. 100 × 20% = Rs. 20

2. BOB: Rs. 100 × 20% = Rs. 20

3. Carol: Rs. 100 × 20% = Rs. 20

4. Dave: Rs. 100 × 20% = Rs. 20

5. Errol: Rs. 100 × 20% = Rs. 20

Now, in Year 1, the profit earned by each of them:

1. Alice: Rs. 20 × 50% = Rs. 10

2. BOB: Rs. 20 × 50% = Rs. 10

3. Carol: Rs. 20 × 50% = Rs. 10  

4. Dave: Rs. 20 × -40% = -Rs. 8  

5. Errol: Rs.  20 × -40% = -Rs. 8

Now, in Year 2, the total investment is

1. Alice: Rs. 20 + Rs. 10 = Rs. 30

2. BOB: Rs. 20 + Rs. 10 = Rs. 30

3. Carol: Rs. 20 + Rs. 10 = Rs. 30

4. Dave: Rs. 20 -  Rs. 8 = Rs. 12

5. Errol: Rs.  20 - Rs. 8 = Rs. 12

Now the above amount is reinvested in Year 2:

1. Alice: Rs. 30 × (1+ 10%) = Rs. 33

2. BOB: Rs. 30 × (1+ 10%) = Rs. 33

3. Carol: Rs. 30 × ( 1 - 60%) = Rs. 12  

4. Dave: Rs. 12 × (1 - 25%) = Rs. 15

5. Errol: Rs.  12 × -100% = Rs. 0

The total investment of Arthur will be the sum of the investment value at the end of year 2 of all the children:

Rs. 33 + Rs. 33 + Rs. 12 + Rs. 15 + Rs. 0

Total Investment of Arthur = Rs. 93



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