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Assertion (A): The growth objective of a business is not limited only to opening new branches. Reason (R): An increase in sales, expansion of the customer base, and product diversification can also indicate business growth. Choose the correct option.

Answer and explanation

Correct answer: Both the assertion and the reason are true, and the reason is the correct explanation of the assertion

The growth objective concerns the expansion and progress of a business, so it is not measured only by opening new branches. Rising sales, a larger customer base, and the introduction of new or diversified products are also indicators of growth. Therefore, both the assertion and the reason are true, and the reason explains why growth is not restricted to the number of branches. In exams, consider both quantitative and qualitative indicators of growth.

Related tags

Assertion-ReasonGrowth-ObjectiveBusiness-ExpansionSales-GrowthCustomer-BaseProduct-DiversificationObjectives Of ManagementNature And Significance Of Management

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