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Statement The cost of manufacturing c...

Statement
The cost of manufacturing cars in state A is 30% less than the cost of manufacturing cars in state B. Even after transportation fee for the differential distances of states. A and B and the interstate taxes, it is cheaper to manufacture cars in state B than state A for selling these cars in state C
Which of the following supports the conclusion drawn in the above statement ?

A

The cost of transportation from state A to state C is more than 30% of the production cost.

B

The production costs of cars in state B are lower in comparison to state A.

C

Only Entry Tax at state C is more for the products originated in state A .

D

Entry Tax at state C is more for the products originated in state B.

Text Solution

Verified by Experts

The correct Answer is:
B

The cost of transportation from state A to state C is more than 30% of the production cost can be directly drawn from the statement .
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