Direction.
Directions: Answer the questions based on the following information:
ABC Ltd. Produces widgets for which the demand is unlimited and they can sell all of their production. The graph below describes the monthly variable costs incurred by the company as a function of the quantity produced. In addition, operating the plant for one shift results in a fixed monthly cost of Rs. 800. Fixed monthly costs for second shift operation are estimated at Rs. 1200. Each shift operation provides capacity for producing 30 widgets per month.
Note: Average unit cost, AC = Total monthly cost / monthly production, and Marginal cost, MC is the rate of change in total cost for unit change in quantity produced.
Suppose that each widget sells for Rs. 150. What is the profit earned by ABC Ltd. in July? (Profit is defined as the excess of sales revenue over total cost.)
2400
1600
400
0
Correct Answer :
C. 400
Profit = Profit per quantity × Quantity = (Price Avg cost ) × quantity = (150 140)40 = 400
Related Questions
Which month records the highest profit?
September
July
March
May
In 2003, the total sales of the company measured in cubic metres was made up of 40% plywood, 30% sawn timber and 30% logs. The average realization per cubic metre in 2003 was closest to
Rs. 16,500
Rs. 13,500
Rs. 15,425
Rs. 18,000
Which share showed the greatest percentage increase in market value in any month during the entire period?
A
B
C
D
What were average sales and costs of figures for XYZ Co. over the period of ten months?
1819, 1651
1919, 1751
1969, 1762
1719, 1601
The number of students keeps on increasing by 50 every years. In 1998, there were 250 students. For which of the following years is the performance best in the school?
1998
2000
1999
Cannot be determined
During the period 1998-2000, how many quarters exceeded the profit of Rs. 150 lakh?
6
5
4
3
If the base of the profit index is changed to 1993 = 100, then what would be the index of profit for the year 2000?
104
100
109
None of these
How many restaurants performed better than Sarson in Take away and better than Dhaba in Dine In?
0
1
2
3
If there were 30 % old men (approx.) in the club in 2013 then what is the percentage of new young men to the young men in the group in 2014, considering there were no old man join the club?
74.52
57.36
39.24
18.07
In which year women and men ratio is greatest?
2011
2012
2013
None of these
In which month is the total increase in the cost highest as compared to two months ago?
March
September
July
May
In which month was the greatest percentage increase in market value for any share recorded?
February
March
April
May
In which school was the difference between the number of girls enrolled in the year 2008 and 2004 minimum?
Only school-A
Only School-B
Both school-A and school-B
Both school-A and school-C
With profitability as defined in question 137, it can be concluded that
Profitability is non-decreasing during the five years from 1994-95 to 1998-99.
Profitability is non-increasing during the five years from 1994-95 to 1998-99.
Profitability remained constant during the five years from 1994-95 to 1998-99.
None of the above
In which year, the maximum profit was generated vis-�-vis in?
1991
1992
1993
1994
The performance for which of the following houses is the best?
Pearl
Ruby
Topaz
Sapphire
In the given personal profile, which is the value with the lowest score?
Theoretical
Religious
Social
Aesthetic
For which of the following houses is the percentage change in the results maximum for any years over the previous years?
Topaz
Pearl
Sapphire
Ruby
If the train stops at each city for 30% more time that what it is at the moment, then at what time will it reach the city H after departing from city A as per schedule?
Data insufficient
17 : 03
16 : 41
16 : 58
If the income of the company in the year 2005 and the year 2007 was 6,80,000 each, then what was the difference in expenditures of the company in the year 2005 and 2007?
1,24,000
1,40,000
1,50,000
None of these
In which year the number of cars sold was the lowest but financial turnover, the maximum?
1993
1994
1995
1996
Who grew at the fastest rate in the first two months of life?
Geeta
Seeta
Ram
Shyam
Which year registered the maximum sales turnover?
1994
1995
1992
1993
If the forecasted demand is met by having uniform production during the weeks at an average level, then the number of weeks during which demand will not be met is :
2
3
4
None of these
What is the profit in the year 1998?
Rs. 110
Rs. 143
Rs. 95
cannot be determined
If sales were Rs. 1200 crore in 1990, then what were the total sales in the period 1990-1995?
Rs. 8628 crore
Rs. 9828 crore
Rs. 9156 crore
Rs. 8136 crore
If the production is uniform, then what should be the minimum capacity of the storage space to store the units in excess of demand?
25
50
100
200
Approximately, how many kg of Potassium Nitrate can be dissolved in 10 litres of water at 30°C?
0.04
0.4
4
0.35
Total production in July is 40 units. What is the approximate average unit cost for July?
3600
90
140
115
If the profit earned in 2006 by Compnay B was 8,12,500, what was the total income of the company in that year?
12,50,000
20,62,500
16,50,000
None of these