A company purchases component A and B from Germany and USA respectively. A and B form 30% and 50% of the total production cost. Current gain is 20%. Due to change in the international scenario, cost of the german mark increased by 30% and that of US dollar increases by 22%. Due to market conditions the selling price cannot be increased beyond 10%. Then,
Q1. What is the maximum current gain possible?
a. 10%
b. 12.5%
c. 0%
d. 7.5%

Q2. If the USA dollar becomes cheap by 12% over its original cost and the cost of German Mark increased by 20%. The selling price is not altered. What will be the gain?
a. 10%
b. 20%
c. 15%
d. 7.5%