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A and B share profits in the ratio 7:5. Available profit is Rs 24,000, but A first receives a special bonus of Rs 6,000. What is B's share after the bonus?

Answer and explanation

Correct answer: 7,500 rupees

The governing concept is appropriation of profit before applying the agreed profit-sharing ratio. The special bonus is paid first, so it is deducted from the available profit: Rs 24,000 − Rs 6,000 = Rs 18,000. The remaining amount is divided between A and B in the ratio 7:5, whose total is 12 parts. B's share is therefore 5/12 × Rs 18,000 = Rs 7,500. Hence option A is correct. Option B incorrectly treats the balance as if it were divided equally, option C ignores the ratio and option D merely repeats the bonus amount rather than calculating B's residual share.

Related tags

Profit DistributionBonusPartnership AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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