**Core Concept**
Community health centres (CHCs) are a part of the primary health care system in India, providing essential medical and preventive services to rural and underserved populations. The coverage area of CHCs is a crucial aspect of their functioning, as it determines the population they serve and the resources required to cater to their needs.

**Why the Correct Answer is Right**
CHCs are designed to serve a population of 80,000 to 1,20,000, as per the National Health Policy of 2017. This population size is considered optimal for the provision of comprehensive primary health care services, including preventive, promotive, curative, and rehabilitative services. The coverage area of 80,000 to 1,20,000 is also aligned with the concept of a "health district," which is a geographical area with a defined population and health services infrastructure.

**Why Each Wrong Option is Incorrect**
**Option A:** A population of 40-60,000 is typically served by a sub-centre or a primary health centre (PHC), which are the lower-level health facilities in the public health system in India.

**Option B:** A population of 60-80,000 is still below the recommended coverage area for a CHC, and services may not be comprehensive or sustainable at this level.

**Option D:** More than 1,20,000 population is typically served by a referral hospital or a district hospital, which provides higher-level specialized services.

**Clinical Pearl / High-Yield Fact**
It's essential to remember that the coverage area of health facilities is a critical factor in determining the effectiveness of public health interventions and the quality of care provided. Understanding the population size and health services infrastructure is crucial for planning and implementing effective health programs.

**Correct Answer:**
✓ Correct Answer: C. 80-1,20,000