Question 15
Wholesale TradeOne of the reasons why wholesaling must continue is that
- A.the tax paid by wholesalers on their profit enhances national revenue
- B.by creating artificial scarcity, the wholesaler is enhancing competition in the economy
- C.the wholesaler provides technical advice to the retailer
- D.the gap between manufacturers and retailers is reduced by wholesalers.
Show the answer and explanation
Answer: D (the gap between manufacturers and retailers is reduced by wholesalers.)
Explanation
Wholesalers link manufacturers and retailers, bridging the gap between them.