Question

Question 16:
Sales is Rs 8,00,000, Direct Cost is Rs 2,80,000 and Profit is 20% on sale. Fixed Cost is_____
a.Rs 4,00,000
b.Rs 3,80,000
c.Rs 3,60,000
d.Rs 3,20,000​

Answer 1

Answer:

Answer is(c)

explanation:-

800000-20%=640000

640000-direct cost

640000-280000

=360000 Answer

Answer 2

Given,  

Sales are Rs.$8,00,000$

The Direct cost is Rs. $2,80,000$

Profit is $20%$% on sales

To find,

We need to find the fixed cost

Solution,

The fixed cost is calculated as Rs. $3,60,000$ which is the c. option given in the question

Profit = Sales × Profit percentage

= $8,00,000$ × $20$%

=$1,60,000$

The Contribution is Sales - Profit Percentage which is given

The Contribution is $8,00,000- 1,60,000$

= $6,40,000$

Fixed cost = Contribution - Direct cost

               = $6,40,000 - 2,80,000$

              = Rs.$3,60,000$

Therefore, The Fixed cost is Rs.$3,60,000$ which is the third option