Study Materials for IBPS, Bank Exams : Numerical Ability/Quantitative Aptitude - Partnership

When two or more than two persons run a business jointly, they are called partners in the business and the deal between them is known as partnership.

Partnership is of two types

Simple Partnership
Compound Partnership

1. Simple Partnership: When investments of all the partners are for the same period of time, the profit or loss is distributed among the partners in the ratio of their original investments.

Suppose A and B invest ` p and ` q respectively for a year in a business, then at the end of the year. Share of A’s profit (loss) : Share of B’s profit (loss) = p : q.

2. Compound Partnership: When investments of all the partners are for different period of time, then equivalent capitals are calculated for a unit of time and the profit or loss is divided in the ratio of the product of time and investment.

Suppose A and B invest ` p and ` q for x months and y months respectively, then Share of A’s profit (loss): Share of B’s profit (loss) = px : qy.

Partners are of two types

(i) Working Partner, and
(ii) Sleeping Partner

(i) Working Partner: A partner who manages the business is called a working partner.

(ii) Sleeping Partner: A partner who only invests the money is called a sleeping partner.

Partnership MCQ

1. A and B entered into a partnership with investments of Rs. 15000 and Rs. 40000 respectively. After 3 months A left from the business. At the same time C joins with Rs. 30000. At the end of 9 months they got Rs. 7800 as profit. Find the share of B.
(1) Rs. 4800
(2) Rs. 600
(3) Rs. 2400
(4) Rs. 1200
(5) None of these

2. A started a business with Rs. 18000. After 4 months B joins with Rs. 24000. After 2 more months C joins with Rs. 30000. At the end of 10 months C received Rs. 1850 as his share. Find the total profit.
(1) Rs. 7955
(2) Rs. 7030
(3) Rs. 8510
(4) Rs. 6845
(5) None of these

3. Three partners started a business with Rs. 80000. At the end of the year they receive Rs. 1800, Rs. 3000 and Rs. 4800 as profit. Find the investment of the second person.
(1) Rs. 25000
(2) Rs. 40000
(3) Rs. 15000
(4) Rs. 32000
(5) None of these

4. A and B together invested Rs. 12000 in a business. At the end of the year, out of a total profit Rs. 1800 A’s share was Rs. 750. What was the investment of A?
(1) Rs. 5000
(2) Rs. 10000
(3) Rs. 12000
(4) Rs. 15000
(5) None of these

5. A started a business with a capital of Rs. 10000 and 4 months later, B joined him with a capital of Rs. 5000. What is the share of A in the total profit of Rs. 2000 at the end of the year?
(1) Rs. 800
(2) Rs. 1000
(3) Rs. 1500
(4) Rs. 1800
(5) None of these

6. A, B and C enter into a partnership. A contributes 320 for 4 months, B contributes Rs. 510 for 3 months, and C contributes Rs. 270 for 5 months. If the total profit is Rs. 208, find the profit share of the partner A.
(1) Rs. 76.50
(2) Rs. 64
(3) Rs. 67.50
(4) Rs. 46
(5) None of these