ABC corporation manufactures and sells three products A, B & C. Following information is available:Total Annual fixed cost is Rs. 3,40,000. When these costs are apportioned on the basis of total quantity, product ‘A’ shows a loss of Re1 per unit.You are required to advise the management regarding :Should product ‘A’ be discontinued?, If product ‘A’ is discontinued, how many more units of product B should be sold to maintain the same amount of aggregate profit?, If profit of Rs. 3 per unit is desired on product ‘A’, what should be its selling price?
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