Fixed overhead Rs 2,000 a month; 80 coaches built; variable cost Rs 400 each. Full unit cost?
ARs 425
BRs 440
CRs 400
DRs 450
Answer & Solution
Correct answer: A. Rs 425
Overhead per coach is 2,000 / 80 = Rs 25, so full cost is 400 + 25 = Rs 425.
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