Many commodities have a retail price and a wholesale price. These two prices may differ because of:
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → the margin kept by traders
The retail price is what the consumer pays; the wholesale price is the price at which goods are traded in bulk. The gap between them is the margin kept by traders.
NCERT (2026-27): “2.4 Nominal and Real GDP It is worth noting that many commodities have two sets of prices. One is the retail price which the consumer actually pays. The other is the wholesale price, the price at which goods are traded in bulk. These two may differ in value because of the margin kept by traders. Goods which are traded in bulk (such as raw materials or semi-finished goods) are not purchased by ordinary consumers. …” |