Use the following information to answer the question below

\(\begin{array}{c|c}

& Ade(N) & Bola(N) \\

\hline

Capital & 40,000 & 30,000 \\

\hline

Drawings & 10,000 & 15,000

\end{array}\)

Interest on drawing is 5%; profit is shared equally.

Ade's share of profit is

  • A N5,500
  • B N4,250
  • C N2,750
  • D N1,250

The correct answer is C. N2,750

No explanation given
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