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Which type of pricing takes place when the cost of petrol is limited?
  • a)
    Price floor
  • b)
    Equilibrium pricing
  • c)
    Price ceiling
  • d)
    Answer cannot be deduced
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
Which type of pricing takes place when the cost of petrol is limited?a...
  • Limitations imposed on prices of commodities like petrol or gold is said to be a price ceiling strategy.
  • A price ceiling is when a regulator (government in this case) places the maximum price of any good or service.
  • It is a common method to keep prices in check for the customers.
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Which type of pricing takes place when the cost of petrol is limited?a)Price floorb)Equilibrium pricingc)Price ceilingd)Answer cannot be deducedCorrect answer is option 'C'. Can you explain this answer?
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