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mayureshbhoytemayureshbhoyte 

using distance function

Is it correct if I write- double dist= distance(location__c, geolocation(lat, lng), "km")
sfdcfoxsfdcfox
No. The DISTANCE function has to be queried. Please see the article here: http://blogs.developerforce.com/developer-relations/2012/10/winter-13-using-apex-and-soql-with-geolocation.html.