A company can develop software in L₁ or L₂. L₂ needs three times the LOC of L₁, and the software must be maintained for 10 years. Man-years for development: LOC/1000 for both. Development cost per man-year: L₁ ₹70,000, L₂ ₹90,000. Maintenance per year: L₁ ₹1,00,000, L₂ ₹40,000. Total cost includes development and maintenance. For what LOC of L₁ are the costs equal?
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Correct answer: C. 3000
Explanation
With x = LOC in L₁: L₁ cost = 70x + 10,00,000; L₂ cost = 90 × 3x + 4,00,000 = 270x + 4,00,000. Equal when 200x = 6,00,000, so x = 3000.
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