Z Ltd. recorded sales of ₹60 lakh in 2014 as compared to ₹45 lakh in 2013. Profit for 2014 was ₹5 lakh higher than that in 2013. If the annual fixed costs amount to ₹12 lakh, the profit on projected sales of ₹90 lakh wil

CS Executive · Cost and Management Accounting · PYQS · December 2015
Z Ltd. recorded sales of ₹60 lakh in 2014 as compared to ₹45 lakh in 2013. Profit for 2014 was ₹5 lakh higher than that in 2013. If the annual fixed costs amount to ₹12 lakh, the profit on projected sales of ₹90 lakh will be —
(A) ₹15 lakh
(B) ₹14 lakh
(C) ₹12 lakh
(D) ₹18 lakh.

Answer & Explanation:

Correct Answer: Option (D)

Official answer key: (D).

Topics: Marginal Costing

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic