algebra with finance word problem

Question

Julie and Kristen are the partners in a local sporting goods shop. They needed $51,000 to start the business. They invested in the ratio 5:12, respectively.

 

a) how much money did each invest

b) what percent of the business was owned by kristen?

c) if the business grows to $3,000,000, what percent of it will Julie own?

Answer 1

Julie invested 5/17 and Kristen invested 12/17.

 

5/17 of 51,000 is $15,000; so, Julie invested $15,000 and Kristen invested $36,000.

 

Kristen's percentage would be 12/17, which is about 71%.

 

If Kristen has 71%, Julie would own 29%.  That wouldn't change no matter how much money they make.  If they're looking for the dollar amount, find 29% of $3,000,000, which is $870,000.