Discussion

Question:

Which of the following options is in decreasing order of raw materials cost?

Explanation:

We know, Selling price = Raw material cost + Labour cost + Selling cost + Profit

∴ Raw material cost = Selling price – Labour cost – Selling cost - Profit

Here, a worker takes 2 hours to produce a kurta.

∴ Raw material cost for F1 = 4800 – 775 – 60 – 2 × 450 = 3065

Similarly, we can make the following table.

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Now, check the option for the decreasing order.

Hence, option (a).

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