Rakesh started a business by investing Rs. 70000. 8 months later Vinod also joined him with Rs. 180000. Total profit, in what ratio should be divided between them?
Correct Answer: None of these
Explanation:
Ratio between the investment of Rakesh and Vinod = (70000 x 12) : (180000 x 4)
= 840000 : 720000
= 7 : 6
Hence, profit sharing ratio = 7 : 6.
