Bissoy.com
Doctors Medicines MCQs Q&A

If the excavation of earth is done manually then it costs Rs. 100 per cum. A machine can excavate at a fixed cost of Rs. 40,000 plus a variable cost Rs. 20 per cum. The quantity of the earth for which the cost of excavation by machine will be equal to the cost of excavation by machine will be equal to the cost by manual excavation is

If the excavation of earth is done manually then it costs Rs. 100 per cum. A machine can excavate at a fixed cost of Rs. 40,000 plus a variable cost Rs. 20 per cum. The quantity of the earth for which the cost of excavation by machine will be equal to the cost of excavation by machine will be equal to the cost by manual excavation is Correct Answer 500 cum

Concepts:

Let the total quantity for excavation is x cum

Cost of excavation of earth if done manually = Rs. 100 per cum

The total cost of excavation of ‘A’ cum earth if done manually, Ch = Rs. 100 × A cum

Cost of excavation by Machine, Cm = Fixed cost + variable cost                             

Cm = 40000 + 20 × A

It is given that cost of excavation by machine will be equal to the cost of manual excavation is

i.e. Ch = Cm

100 × A= 40000 + 20 × A

 On solving, we get A = 500 cum

∴ The total quantity for excavation is 500 cum

Related Questions

If the excavation of the earth is done manually then it costs Rs. 10 per cum. A machine can excavate at fixed cost of Rs. 4000 plus a variable cost of Rs. 2 per cum. The quantity of earth for which the cost of excavation by machine will be equal to the cost of manual excavation is
If the excavation of earth is done manually then it costs Rs. 10 per cum. A machine can excavate at a fixed cost of Rs. 4000 plus a variable cost of Rs. 2 per cum. The quantity of earth for which the cost of excavation by machine will be equal to the cost of manual excavation is
If the excavation of earth is done manually then it costs Rs. 80 per m3. A Machine can excavate at a fixed cost of Rs. 60000 plus a variable cost of Rs. 20 per m3. The quantity of earth for which the cost of excavation by machine will be equal to the cost by manual excavation is
To produce a component, any of the four processes can be adopted. Process A: Fixed cost = Rs. 20, Variable cost/piece = Rs. 4 Process B: Fixed cost = Rs. 50, Variable cost/piece = Rs. 3 Process C: Fixed cost = Rs. 60, Variable cost/piece = Rs. 2 Process D: Fixed cost = Rs. 70, Variable cost/piece = Rs. 1 Which of the following process is the most economical to produce 100 pieces in a batch?
Complete the equation. 2Res+OH– + 2– → __________ + 2OH– 2- b) (Res+)23- c) (Res+)22- d) (Res+)32-
"It is now expected that the variable production cost per unit and the selling price per unit will each increase by 10%, and fixed production cost will rise by 25%. What will be the new break even point?
Selling price - Rs 6 per unit
Variable production cost - Rs 1.20 per unit
Variable selling cost - Rs 0.40 per unit
Fixed production cost - Rs 4 per unit
Fixed selling cost - Rs 0.80 per unit
Budgeted production and sales for the year are 10,000 units."
Excavation may be classified by type of material- Earth excavation ________ excavation, rock excavation, muck excavation, unclassified excavation.
The table shows the annual expenses on various heads made by a firm during 2014 - 2018. What is the average expenditure per head of 2016? Year Particulars Raw Materials Wages Administration Delivery Finance 2014 50000 15000 40000 20000 20000 2015 90000 20000 40000 25000 25000 2016 45000 22500 47500 25000 25000 2017 60000 20000 40000 25000 40000 2018 7500 25000 50000 30000 45000
Neha was solving a problem in which subtraction of 673–257 was required. She said, "257 plus 100 will be 357, 457, 557, 657. So, 257 plus 400 is 657". "Now 657 plus 10 is 667, 677, so, 657 plus 20 is 677 and 4 less in 677 is 673. "Therefore, 400 plus 20 minus 4 is 416". Hence 673–257 is 416. Which of the following statements is most appropriate for the strategy of Neha?
From the following information, find out the number of units that must be sold by the firm to earn profit of Rs. 80,000 per year.
Sales price: Rs. 25 per unit
Variable manufacturing costs: Rs. 12 per unit
Variable selling costs: Rs. 3 per unit
Fixed factory overheads: Rs. 5,00,000
Fixed selling costs: Rs. 3,00,000