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Problem 5 A, B and Care three similar plants under the same management who want them to be merged for better operation. The details are

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Problem 5 A, B and Care three similar plants under the same management who want them to be merged for better operation. The details are as under: Plant Capacity operated A B C 100% 70% 50% $ $ $ (in lakh) (in lakh) (in lakh) 300 280 150 200 210 75 70 50 62 Turnover Variable cost Fixed cost Find out: (i) the capacity of the merged plant for break-even. (ii) the profit at 75% capacity of the merged plant. (iii) the turnover from the merged plant to give a profit of $28 lakh

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