P Flag question if prime cost Rs.16,000; factory overheads 25% of prime cost and office overheads 75% of factory overheads then office cost would be
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Answer:
factory over head
25/100×16000 = 4000
16000+4000=20,000
office overhead
75/100×16000=12,0
16000+12000=28,000
office cost be 28,000
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