Fixed cost Rs 40,000; contribution Rs 10 per unit. Units needed for Rs 20,000 profit?
A6,000 units
B4,000 units
C2,000 units
D8,000 units
Answer & Solution
Correct answer: A. 6,000 units
Units equal fixed cost plus target profit over unit contribution, so 60,000 divided by 10 is 6,000.
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