MATH PARTNERSHIP

                                                    PARTNERSHIP

Partnership is physical entity which belong to business word. Suppose you want to start business but you do   not have sufficient amount to invest, so you need to find some persons which have sufficient amount of money to invest in your  business. That way partnership  comes in the picture. Partners may invest different sum of money in business known as  The investment ration.  So cetain situation arises after start business…

1)PROFIT ::  When business have profit then profit should be distributed among the partners in theirs invest     ration of money.

   Time period may be different among  investor then profit must be distributed according to that.

A)        WHEN  ALL BUSINESS PARTNER INVEST MONEY AT A TIME::

               Example  : suppose  three person invest money in ration A:B:C=1:2:3  for a year then  profit should                          distributed among A,B,C also in the ratio 1:2:3  .

B)           WHEN  ALL BUSINESS PARTNER INVEST MONEY AT DIFFERENT TIME::

            Example: suppose  three person invest money in ration A:B:C=1:2:3  for a time period 4,6,10 month respectively. then  profit should  distributed among A,B,C also in the ratio

                         RATION=(INITIAL INVESTMENT RATIO * TIME PERIOD)

              Then their ratio will be A:B:C=1*4:2*6:3*10

2)LOSS::  When business have loss then loss should be distributed among the partners in theirs invest     ration of money.

C)     WHEN  ALL BUSINESS PARTNER INVEST MONEY AT A TIME::

               Example  : suppose  three person invest money in ration A:B:C=1:2:3  for a year then  loss should                          distributed among A,B,C also in the ratio 1:2:3  .

D)           WHEN  ALL BUSINESS PARTNER INVEST MONEY AT DIFFERENT TIME::

            Example: suppose  three person invest money in ration A:B:C=1:2:3  for a time period 4,6,10 month respectively. then  loss should  distributed among A,B,C also in the ratio

                         RATION=(INITIAL INVESTMENT RATIO * TIME PERIOD)

              Then their ratio will be A:B:C=1*4:2*6:3*10

                                                SLEEPING PARTNERS  VS ACTIVE PARTNERS

Partners who are responsible for managing the Business Is know as ACTIVE(WORKING) partners.

Partners who are simply invest money is known as SLEEPING PARTNERS ,they do not do any business plan for growing the business.

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                                                                        QUESTION

QUESTION1: A,B,C  started a business by investing 1200,1400,1600 respectively.find the share of each ,out of an annual profit of 42000.

Solution :  The ratio in which investor invest money ratio at same time  of A:B:C=1200:1400:1600

                                             =12:14:16

                                            =6:7:8

Then profit among A,B,C  of total profit.

    A’  share=42000*6/(6+7+8)

                    =42000*6/21

                     =2000*6

                      =12000

  

B’  share=42000*7/(6+7+8)

                    =42000*7/21

                     =2000*7

                      =14000

C’  share=42000*8/(6+7+8)

                    =42000*8/21

                     =2000*8

                      =16000

QUESTION 2:  A and B together investing money 12000 into business. At the end of the year ,out of a total profit of 1800 . A share was 750 .Find the investement of A.

Solution :

                        A and B total share : A total share = A and B Profit : A profit

                      12000:A=1800:750

                                    A=12000*750/1800

                                    A =5000