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Q. The production department of a firm reported the following information for the month of May 2005.
Rs. Wage Bill 20,000 Value of raw materials 60,000 Interest 6,000 Fuel Consumption 10,000 Rent 4,000 Units of output produced 2,000
Calculate (i) Average cost (ii) Average variable cost (iii) What would be the total profit of the firm if it sells the entire output at a cost of Rs. 60 per unit?
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