MBA
Exam
A company purchases components A and B from Germany and USA, respectively. A and B constitute 30% and 50% of the total production cost. Current gain is 20%. Due to change in the international scenario, cost of the German Mark increased by 30% and that of US dollar increased by 22%. Prevailing market conditions does not allow the selling price to increase beyond 10%.Based on the following information answer the following questions.Question: What is the maximum current gain percent possible? 1) 10% 2) 12.5% 3) 0% 4) 7.5%
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