Q540
From the following two statements of Assertion (A) and Reason (R), indicate the correct answer. Assertion (A) From the marginal costing approach point of view, the marginal cost is compared with the purchase price. Reason (R) If the marginal cost is less than the purchase price it should be purchased rather than manufactured.
A.
Both (A) and (R) are correct
B.
(A) is correct, but (R) is not correct
C.
(A) is not correct, but (R) is correct
D.
Both (A) and (R) are incorrect
AnswerAnswer: Option D
Solution
Answer: Option D
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