If prime cost is ₹3,75,000; Factory cost is ₹6,00,000 and administrative overheads are 50% of the factory overheads, then the administrative overheads will be :

CS Executive · Cost and Management Accounting · PYQS · December 2018
If prime cost is ₹3,75,000; Factory cost is ₹6,00,000 and administrative overheads are 50% of the factory overheads, then the administrative overheads will be :
(A) ₹2,25,000
(B) ₹1,12,500
(C) ₹1,87,500
(D) ₹3,00,000

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Cost Sheet

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