Prime cost 500000 - variable manufacture overhead 200000 - fixed manufacture overhead 150000 - variable selling and other expenses 40000

Inventorial cost (Using Variable Costing)   =Direct Materials + Direct Labor + Manufacturing Overheads.

Here it is prime cost + Manufacturing Overheads =500000 +200000

=700000

correct answet is

Inventoriable costs =50000+20000 =70000

 its value of Rs.740000/- including of variable selling and other exps

B ->>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>700000 

using variable casting inventoriable cost will be700000 because fixed overhead and selling and other expenses are irrelevant.

Inventoriable costs =50000+20000 =70000