What would be the volume that Mr. Harshwardhan should train, where he would be indifferent between setting up a comedy l

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Q 2247645583.     Directions: Study the information carefully to answer the following questions.
Mr. Harshwardhan is facing a decision problem. He has excellent training products but is not sure about the demand for his abilities. He wants to set up a training centre to provide training programmes of Dance, Action and comedy level. His financial advisor Mr. Anil kapoor told him that if he wants to set up a comedy level training centre, the total cost would be on two counts - the first would be a fixed would cost which is Rs 2 lakh per annum. Besides, it would also entail a variable cost of training per candidate. This would be Rs 1000 per candidate. He further estimated that if a training centre is set up for conducting Action and comedy level training programmes, the total fixed cost would be Rs 3.2 lakh per annum and the cost of training per candidate will be Rs 750. Mr. Anil kapoor motivates Mr. Harshwardhan to set up a combined training centre for Dance, Action and comedy, the fixed cost of which is Rs 5 lakh per annum and the cost of providing training per candidate is Rs 500. You as a expert from FTII, have some decision making abilities. Please help Mr. Harshwardhan by answering the following questions:"
What would be the volume that Mr. Harshwardhan should train, where he would be indifferent between setting up a comedy level and comedy and action level training centre?
IBPS-PO 2017 Mock Mains
A

495

B

490

C

480

D

475

E

None of these

HINT

(Provided By a Student and Checked/Corrected by EXXAMM.com Team)

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