WAEC Commerce 2015 Question 44

Question 44

Retail Trade

Which of the following is a disadvantage of retailing?

  1. A.Selling on credit
  2. B.Lower prices of goods
  3. C.Selling in smaller quantities
  4. D.Location at convenient places
Show the answer and explanation

Answer: A (Selling on credit)

Explanation

Selling on credit exposes the retailer to bad debts and ties up his capital.