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Business Studies

Factors Affecting Fixed and Working Capital

The industrie...

Question

The industries requiring large quantities of _____ are located near the places having abundant availability of that raw material.

A

Raw materials

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B

Finished goods

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C

Average raw materials

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D

None of these

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Solution

The correct option is A Raw materials
The industries requiring large quantities of heavy raw materials are located near the places having abundant availability of that raw materials. This is the basic step taken by any industries to reduce transportation cost of raw material.

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