"Calculate the prime cost from the following information: Direct material purchased: Rs. 1,00,000. Direct material consumed: Rs. 90,000. Direct labour: Rs. 60,000. Direct expenses: Rs. 20,000. Manufacturing overheads: Rs. 30,000."

Rs. 1,80,000

Rs. 2,00,000

Rs. 1,70,000

Rs. 2,10,000

✅ The correct answer is C.
Prime cost = Raw material consumed + Direct labour + Direct expenses = 90000 + 60000 + 20000 = Rs. 170000.

972. “Calculate the prime cost from the following information: Direct material purchased: Rs. 1,00,000. Direct material consumed: Rs. 90,000. Direct labour: Rs. 60,000. Direct expenses: Rs. 20,000. Manufacturing overheads: Rs. 30,000.”