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Profits are ₹30,000, ₹40,000 and ₹50,000, and the weights are 1:2:3. What is the weighted average profit?

Answer and explanation

Correct answer: ₹43,333 लगभग

The weighted-average method gives greater importance to the profit carrying the greater weight. Calculate the weighted total as ₹30,000×1 + ₹40,000×2 + ₹50,000×3 = ₹2,60,000. The total weight is 1+2+3=6. Therefore, weighted average profit = ₹2,60,000÷6 = ₹43,333.33, approximately ₹43,333. Option B is only the middle profit, while option D is the weighted total, not the average.

Related tags

GoodwillWeighted AverageMaintainable ProfitNumericalPartnership AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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