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Question

The economic cost of food grains to the Food Corporation of India is Minimum Support Price and bonus (if any) paid to the farmers plus

A

transportation cost only
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B

interest cost only
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C

procurement incidentals and distribution cost
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D

procurement incidentals and charges for godowns
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Solution

The correct option is C
procurement incidentals and distribution cost
The economic cost of food grains to the Food Corporation of India is Minimum Support Price and bonus (if any) paid to the farmers plus procurement incidentals and distribution cost.

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