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    Radha and Vatsal invested ₹36,000 and ₹42,000, respectively, in a business. Radha, being an active partner, got ₹637.50 extra every month for running
    Question

    Radha and Vatsal invested ₹36,000 and ₹42,000, respectively, in a business. Radha, being an active partner, got ₹637.50 extra every month for running the business. In 3 years, if Radha received a total of ₹31,500, then what was the profit earned by Vatsal during this period?

    A.

    ₹9,975

    B.

    ₹36,750

    C.

    ₹8,550

    D.

    ₹10,795

    Correct option is A

    Given:
    Radha's Investment (R): ₹36,000
    Vatsal's Investment (V): ₹42,000
    Radha's Extra Monthly Earnings (for managing the business): ₹637.50
    Total Earnings for Radha (over 3 years): ₹31,500
    Duration: 3 years
    Solution:
    First, compute the total extra amount Radha received over 3 years:
    Extra Amount=637.50×12 months×3 years=22,950\text{Extra Amount} = ₹637.50 \times 12 \text{ months} \times 3 \text{ years} = ₹22,950
    Profit Share (Radha) = ₹31,500 - ₹22,950 = ₹8,550
    The investments of Radha and Vatsal are in the ratio:
    Investment Ratio = 36,000 : 42,000 = 6 : 7
    Let the total profit be P .
    Radha's profit share is based on the investment ratio:
    Radha's Share = 66+7×P=613P\frac{6}{6 + 7} \times P = \frac{6}{13}P​​
    We already found Radha's profit share to be ₹8,550:
    613P=8,550\frac{6}{13}P = ₹8,550

    P=8,550×136=18,525P = ₹8,550 \times \frac{13}{6} = ₹18,525​​
    Using the investment ratio:
    Vatsal's Share = 713×18,525=9,975\frac{7}{13} \times ₹18,525 = ₹9,975​​
    Vatsal earned a profit of ₹9,975 over the 3-year period.

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