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The total cost of setting up a sugar can...

The total cost of setting up a sugar cane factory is Rs. 1 crore, which produces 5000 tone er annum. Sugar is being sold at Rs. 18 per kg. Manufacturing cost including raw material is Rs. 3.2 per kg, labour and packing charges are Rs. 1.8 per kg. Maintenance and utilies expenses are Rs. 2 per kg and the general expenses (ie all the rest charges) are Rs. 3 per kg, 20% taxes are being paid of the gross annual earnings, then the net profit of the profuction of the factory per annum is :

A

₹4.2 crore

B

₹3.2 crore

C

₹5.4 crore

D

none of these

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The correct Answer is:
B
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