Example:
Peter, George and Adam started a business with investments of $15,000, $20,000 and $30,000 respectively. After 5 months Peter withdrew an amount of $10,000 from his investment. 3 months later George withdrew an amount of $5,000 from his investment. Then Adam added $20,000 to his investment. If the profit at the end of the year is $21,000. Find the share of each?
Solution:
Investment of Peter = $15,000
Period of investment = 5 months
Amount withdrawn from the investment = $10,000
Investment for the remaining period = $5,000
Period of investment = 125 = 7 months
Investment of George = $20,000
Period of investment = 5+3 = 8 months
Amount withdrawn = $5,000
Investment for the remaining period = $20,000  $5,000 = $15,000
Period of investment = 128 = 4 months
Investment of Adam = $30,000
Period of investment = 8 months
Added investment = $20,000
Investment after addition = $30,000 + $20,000 = 50,000
Period of investment = 4 months
Ratio of the investments of Peter, George and Adam.
= (15,000*5 + 5,000*7) : (20,000*8 + 15,000*4) : (30,000*8 + 50,000*4)
= (75,000 + 35,000) : (160,000 + 60,000) : (240,000 + 200,000)
= 110,000 : 220,000 : 440,000
= 11 : 22 : 44
= 1 : 2 : 4
The total profit of $21,000 is divided in the ratio of their investments.
Share of Peter = (21,000*3)/7 = $3,000
Share of George = (21,000*2)/7 = $6,000
Share of Adam = (21,000*4)/7 = $12,000
Directions: Solve the following problems. Also write at least 5 examples of your own.
