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Question

Select the proper option from the options given below and rewrite the sentences.

Private enterprises invest their funds in ________.

(a) areas of social benefit
(b) areas where return is maximum
(c) any area

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Solution

Private enterprises invest their funds in areas where return is maximum.

Explanation:
The prime objective of private enterprises is to earn maximum profit and also to provide maximum returns on the investment. Thus, private enterprises invest carefully in the area where returns are maximum. However, in case of public sector, social welfare is the main objective.
The correct option is B.

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