Instructions

Read it carefully and answer Five Questions.

Total cost of production of a firm is ₹ 250 lakh. Following pie-chart shows the percentage of costs of production in different purposes.
Letters A, B, C, D represent the following:
A = Cost of raw materials
B = Cost of packing materials
C = Cost of labour
D = Maintenance cost

Question 106

If the packing cost increases by 2%, then the new packing cost will be

Solution

Packing Cost$$=\frac{25}{100}\times250=62.5$$ lakh

Given, packing cost is increased by 2%

$$=$$> New Packing Cost$$=\frac{102}{100}\times62.5=63.75$$ lakh


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