Home › Previous year questions › GATE 2022 PI › Question 64GATE 2022 PI – Question 64 Operations Research and Operations Management · Engineering Economy and Costing · 2 marks · Numerical answer
A plant produces 24 electric cars/day. Setup cost is ₹19476 million, variable cost ₹0.6 million/car and selling price ₹1.5 million/car. Find days to break even, nearest integer.
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Show answer and explanation Correct answer: 900 to 905
Explanation Contribution per car = 1.5−0.6 = ₹0.9 million. Daily contribution = 24×0.9 = ₹21.6 million. Break-even time = 19476/21.6 = 901.6667 days, rounded **902 days**.
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