“Calculate the most appropriate unit cost for a distribution division of a multinational company using the following information. Miles travelled 636,500 Tonnes carried 2,479 Number of drivers 20 Hours worked by drivers 35,520 Tonnes miles carried 375,200 Cost incurred 562,800”

The correct answer is A. Rs .88.

To calculate the unit cost, we need to divide the total cost by the total number of units. In this case, the total cost is 562,800 and the total number of units is 375,200. This gives us a unit cost of 562,800 / 375,200 = Rs .88.

Option B is incorrect because it is the cost per hour worked by drivers. Option C is incorrect because it is the cost per tonne mile carried. Option D is incorrect because it is the total cost incurred.

The unit cost is important because it can be used to compare the costs of different distribution divisions. It can also be used to set prices for products and services.