Question In case of an unexpected fall in turnover of a firm, who is producing a certain commodity. There will a situation of_____________________ Choose the correct option. 1. Planned accumulation of inventories
2. Unplanned accumulation of inventories
3. Unplanned decumulation of inventories
4. Planned decumulation of inventories
This question was previously asked in
Shift 29/05/2023 3:30 PM - 6:30 PM
A
Planned accumulation of inventories
B
Unplanned accumulation of inventories
C
Unplanned decumulation of inventories
D
Planned decumulation of inventories
Correct Answer
Unplanned accumulation of inventories
Detailed Explanation
In case of an unexpected fall in turnover of a firm, the correct option is an unplanned accumulation of inventories.
This means that the firm is experiencing a decrease in sales or demand for its products, resulting in excess inventory levels.
Overall, an unplanned accumulation of inventories is a potential consequence of an unexpected fall in turnover for a firm. It highlights the need for effective inventory management and the ability to adapt to changing market conditions.
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