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Dinkar, Navita and Vani were partners sharing profits and losses in the ratio of 3: 2: 1. Navita died on 30th June, 2017. Her share of profit for the intervening period was based on the sales during that period, which were Rs. 6,00,000. The rate of profit during the past four years had been 10% on sales. The firm closes its books on 31st March every year. Calculate Navita’s share of profit. (CBSE 2019)

SOLUTION

Sales during that period of the firm from 1st April, 2017 to 30th June, 2017 Rs. 6,00,000
The rate of profit during the past four years had been 10% on sales

Profit of the firm from 1st April, 2017 to 30th June, 2017 is Rs. 6,00,000 × 10/100 = Rs. 60,000
Share of Profit is Rs. 60,000 × 2/6 = Rs. 20,000


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