Question
The company plans to introduce a new Product D with a
cost price of ₹400 and a selling price of ₹600. If 200 units of Product D are produced and sold, calculate the overall profit considering the introduction of Product D alongside existing products. Direction: A manufacturing company produces three products: A, B, and C. The following table summarizes the production details for each product over a period of 5 months, including the cost price (CP), selling price (SP), and units produced each month.Solution
Total CP for Product D = 200 × 400 = ₹80,000 Total SP for Product D = 200 × 600 = ₹120,000 Overall Profit including Product D = 503,000 + (120,000 - 80,000) = 273,000 + 40,000 = ₹313,000
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