Commerce JAMB

Which of the following functions is not performed by warehousing?

A. Stabilization of price
B. production ahead of demand
C. creating scarcity of goods
D. storage of goods

Correct Answer:

Option C – creating scarcity of goods

Explanation

The function of storage can be carried out successful with the help of warehouses used for storing the goods. By storing the goods throughout the year and releasing them as and when they are needed, warehousing creates time utility.

warehousing doesn’t create scarcity of goods instead it makes goods available

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