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Commerce · Q1014

Costing

Graduate and Post Graduate · Commerce · question 1014

Q1014

From the following information, find out the number of units that must be sold by the firm to earn profit of Rs. 80,000 per year. Sales price: Rs. 25 per unit Variable manufacturing costs: Rs. 12 per unit Variable selling costs: Rs. 3 per unit Fixed factory overheads: Rs. 5,00,000 Fixed selling costs: Rs. 3,00,000

A.
60,000 units
B.
88,000 units
Answer
C.
98,000 units
D.
1,00,000 units

Answer: Option B

Solution

Answer: Option B
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