Question
Selling Price = ₹120/unit; Variable Cost =
₹80/unit Fixed Cost = ₹6,00,000 How many units to earn ₹2,00,000 profit?Solution
Required Contribution = FC + Desired Profit = ₹6L + ₹2L = ₹8L Contribution/unit = ₹120 – ₹80 = ₹40 Required units = ₹8L / ₹40 = 20,000
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