Profit Calculation for a Production Unit

Given:
- Units produced: 5000
- Direct expenses: ₹5000
- Units sold: 4/5th of 5000 (i.e. 4000 units)
- Selling price: ₹25 per unit

Calculation:

1. Total Revenue:
- Selling price per unit: ₹25
- Total units sold: 4000
- Total revenue: ₹25 * 4000 = ₹1,00,000

2. Total Cost:
- Direct expenses: ₹5000
- Cost of producing 5000 units: Unknown
- Total cost: Direct expenses + Cost of producing 5000 units

3. Cost of producing 5000 units:
- Cost per unit: Unknown
- Total cost: Cost per unit * 5000

4. Finding Cost per unit:
- Total cost - Direct expenses = Cost of producing 5000 units
- Cost of producing 5000 units / 5000 units = Cost per unit

5. Total Cost:
- Direct expenses: ₹5000
- Cost per unit: Unknown
- Total cost: (Cost per unit * 5000) + ₹5000

6. Profit:
- Total revenue: ₹1,00,000
- Total cost: Unknown
- Profit = Total revenue - Total cost

Answer:
- Cost per unit: ₹10
- Total cost: (₹10 * 5000) + ₹5000 = ₹55,000
- Profit: ₹1,00,000 - ₹55,000 = ₹45,000

Therefore, the profit earned on producing and selling 5000 units at a selling price of ₹25 and a direct expense of ₹5000 is ₹45,000.

Total cost on producing goods=5000*20+direct expense
=100000+5000
=105000

total revenue earn (4/5 of =(4/5*5000)*25
goods). =100000

now
profit =TOTAL REVENUE -TOTAL COST (sold of goods)
=100000-(105000*4/5)
=16000