Q.
1

Assertion (A): Form the marginal costing approach point of view, the marginal cost is compared with the purchase price.

Reason (R): If the marginal cost is less than the purchase price it should be purchased rather than manufactured

Codes:

 

  • A

    (A) and (R) both are correct   

  • B

    (A) is correct, but (R) is not correct

  • C

    (A) is not correct, but (R) is correct  

  • D

    (A) and (R) both are incorrect