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Partnership

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Quantitative Aptitude – Partnership

Solve business partnership profit-sharing using capital and time ratios.

1. Basic Formula

Profit share = capital × time. Ratio of profit = (C1×T1):(C2×T2).

2. Variations

  • One partner joins late: his time part reduces contribution.
  • One partner invests more: capital part increases share.

3. Quick Tips

  • Multiply capital and time for each partner before comparing.
  • If time is same, compare capitals only.

4. Common Errors

  • Comparing capitals directly without time factor.
  • Forgetting to adjust start and end times.

5. Revision Checklist

  • Practice problems with staggered investments or durations.

Summary: Partner share is proportional to capital-time product; write both factors for each partner, simplify ratio, and verify by reconstructing profit distribution.

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