17. Two partners operate a business that shows a profit for the year of \( \$ 63,000 \). Their partnership agreement calls for them to share the profits in the ratio \( 5: 4 \). How much of the profit should go to the partner who gets the larger share? (A) \( \$ 35,000 \) (B) \( \$ 28,000 \) (C) \( \$ 32,000 \) (D) \( \$ 36,000 \) (E) \( \$ 24,000 \)
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To figure out how much of the profit goes to the partner who gets the larger share, we first need to calculate the total parts in their profit-sharing ratio of 5:4. This equals \( 5 + 4 = 9 \) parts. Now, we'll find out how much each part is worth by dividing the total profit by the number of parts: \[ \text{Value of each part} = \frac{\$63,000}{9} = \$7,000 \] Next, to find the larger share, we multiply the value of each part by 5: \[ \text{Larger share} = 5 \times \$7,000 = \$35,000 \] So the answer is (A) \( \$ 35,000 \).
