What would be Prime cost from below information? Direct materials Purchased : ₹75,000 Direct labour : ₹45,000 Direct expenses : ₹15,000…

CA Intermediate · Cost and Management Accounting · MTP · September 2026
What would be Prime cost from below information? Direct materials Purchased : ₹75,000 Direct labour : ₹45,000 Direct expenses : ₹15,000 Manufacturing overheads : ₹22,500 Direct materials consumed : ₹67,500
(A) (A) ₹1,35,000
(B) (B) ₹1,27,500
(C) (C) ₹1,57,500
(D) (D) ₹1,50,000

Suggested Answer and Working Notes:

Correct Answer: Option (B)

(B) ₹1,27,500

Topics: Overheads - Absorption Costing Method, Cost Sheet

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