Location of firm in rural areas may

ECONOMICS
WAEC 2016

Location of firm in rural areas may

  • A. enable the firm to enjoy existing infrastructural facilities
  • B. make finance readily available
  • C. enhance even or balanced development
  • D. make such firm enjoy external economics of scale

Correct Answer: C. enhance even or balanced development

Explanation

- It will be easier for the firm to get raw materials in the rural areas. - It would bring about development and improvement in the standard or living in the area. - Basic infrastructure may not be available.



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