Question

Four individuals invest in real estate together and i agreed to split the prophets equally, n invest $12,000, x invest 6,000, y invest $25,000, and z invest $7,000. if the profit of the first year were $120,000, y receives _ ? _ less than if the profit were divided in proportion to how much they invested.

Answer 1

Y receives $30000 less than if the profit were divided in proportion to how much they invested.  

What is Proportional Profit?

In a proportional tax system, everyone is compelled to pay the same amount of taxes as a percentage of their income.

According to the given information:

Profit will Divide into 4 equal parts.

The total Profit for the month is  = $120,000

The party will receive a sum of = $30,000

This shows that Y also receive the same amount

Y = $30,000 (Profit received)

Now

If the Profits were divided in proportion to the investments made .

The proportion on investment made by Y.

The total investment made = $12000+$6000+$25000+$7000

                                            = $50000

Out of this the Amount invested by Y = $25000

The Proportional Profit of Y.

=  (25000/ 50000) x 120000                      

= $60,000

So Y receives 60000 - 30000

                       = 30000

To know more about Proportional Profit visit:

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