A manufacturer decides to set up a project and starts production with an initial investment of Rs 1,00,000. The sale price of the product is Rs 10 with a variable cost of Rs 4. As much as 10,000 units...


A manufacturer decides to set up a project and starts production with an initial investment of Rs 1,00,000. The sale price of the product is Rs 10 with a variable cost of Rs 4. As much as 10,000 units are to be produced. The manufacturer may start production now. But he would like to postpone it for two years insofar as he expects a rise in the sale price to Rs 12 after two years. What should be the appropriate option?



May 05, 2022
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