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"Calculate the prime cost from the following information:Direct material purchased: Rs. 1,00,000.Direct material consumed: Rs. 90,000.Direc…

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"Calculate the prime cost from the following information:Direct material purchased: Rs. 1,00,000.Direct material consumed: Rs. 90,000.Direct labour: Rs. 60,000.Direct expenses: Rs. 20,000.Manufacturing overheads: Rs. 30,000."
  • ARs. 1,80,000
  • BRs. 2,00,000
  • CRs. 1,70,000
  • DRs. 2,10,000
Correct answer: C
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CCommunity
Rs. 1,70,000

Prime cost = Raw material consumed + Direct labour + Direct expenses = 90000 + 60000 + 20000 = Rs. 170000.